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Regulatory transparency encourages institutions to diversify their altcoin holdings

Regulatory transparency encourages institutions to diversify their altcoin holdings

Bitget-RWA2025/09/27 14:40
By:Coin World

- SEC approves Hashdex ETF to include XRP, SOL, XLM, diversifying institutional altcoin exposure with 6.9% XRP allocation. - XLM faces short-term volatility near $0.340 support but shows bullish momentum with long-to-short ratio at 1.0. - AVAX gains 42% on institutional partnerships while VET's $0.025 consolidation hints at potential $0.068-$0.12 breakout. - SEC's 75-day ETF approval process accelerates market diversification, with over 100 crypto ETFs projected in 2025.

Regulatory transparency encourages institutions to diversify their altcoin holdings image 0

The recent green light from the U.S. Securities and Exchange Commission for the Hashdex Nasdaq Crypto Index US ETF represents a significant turning point for the crypto sector, broadening institutional exposure to altcoins beyond

and . With this ETF now able to hold Ripple (XRP), (SOL), and (XLM), its portfolio allocates 6.9% to , 4.2% to Solana, and 0.3% to . This move toward diversification highlights a rising appetite among investors for broader digital asset exposure, hinting at a possible shift in the market’s power balance Stellar Price Forecast: XLM Falls More Than 6% Despite SEC’s Approval of Hashdex ETF [ 1 ]. The addition of these cryptocurrencies to a regulated ETF further validates their standing and makes them more accessible within mainstream finance SEC’s Hashdex ETF Approval Opens New Horizons for XRP and XLM [ 2 ].

Following the ETF’s approval, Stellar (XLM) has seen increased price swings, dropping over 6% in a single session despite the regulatory breakthrough. As of September 26, 2025, XLM was trading near $0.354, approaching a key support at the 200-day exponential moving average of $0.340. Technical signals point to bullish sentiment, with the long-to-short ratio for XLM climbing to 1.0, reflecting growing optimism among traders XLM Consolidates After Sharp Decline, Testing Key Support Levels [ 3 ]. Experts note that if XLM holds above $0.331, it may aim for resistance at $0.381, but falling below this threshold could lead to further losses toward $0.297 Stellar Price Forecast: XLM Falls More Than 6% Despite SEC’s Approval of Hashdex ETF [ 1 ]. The token’s presence in the ETF, together with PayPal’s recent stablecoin launch on the Stellar network, strengthens its case for long-term institutional uptake Stellar Price Forecast: XLM Falls More Than 6% Despite SEC’s Approval of Hashdex ETF [ 1 ].

Avalanche (AVAX) has also attracted fresh institutional attention, fueled by a $550 million treasury program and collaborations with companies such as SkyBridge Capital and JPMorgan.

has jumped 42% so far this month, trading close to $35.50, as investors anticipate its expanding role in real-world asset tokenization and enterprise blockchain solutions. The technical picture for AVAX remains positive, with the 20-day exponential moving average offering support at $30.43 and important resistance levels at $37 and $50. On-chain metrics show net inflows of $3.26 million in a single day, indicating accumulation by large holders and institutions VeChain Price (VET) Could Rally 200% Soon, Michaël van de Poppe Says [ 5 ]. Analysts believe AVAX could test the $50 mark by year-end, bolstered by its growing DeFi ecosystem and regulatory-compliant infrastructure VeChain Price (VET) Could Rally 200% Soon, Michaël van de Poppe Says [ 5 ].

VeChain (VET) is another altcoin drawing institutional interest, with its price consolidating below the 20-week moving average at $0.025. Analysts such as Michaël van de Poppe point to a “promising setup” for a breakout, referencing double-bottom formations and Fibonacci targets between $0.068 and $0.12. Planned upgrades to the VET ecosystem in 2025, including the Interstellar phase of its roadmap, are set to deliver full Ethereum

Machine compatibility and enhanced cross-chain functionality. The Stargate program offers staking yields up to 9% APY, appealing to investors seeking returns. Derivatives data shows open interest up 3.6% in 24 hours, reflecting increased confidence in VET’s short- and medium-term prospects.

These recent developments point to a fundamental transformation in how crypto assets are allocated. The SEC’s simplified generic listing rules, which cut approval times from 270 days to just 75, are expected to pave the way for over 100 new crypto ETFs in the coming year SEC’s Hashdex ETF Approval Opens New Horizons for XRP and XLM [ 2 ]. This regulatory certainty has already led to a wave of filings for multi-asset ETFs, with XRP and Solana gaining ground alongside Bitcoin and Ethereum. Institutional involvement in altcoin markets, spurred by tokenization projects and subnet ecosystems, is changing the industry landscape. While Bitcoin still leads the market, the integration of altcoins into regulated investment vehicles and the growth of institutional-grade blockchain infrastructure are driving a more varied and balanced crypto ecosystem SEC’s Hashdex ETF Approval Opens New Horizons for XRP and XLM [ 2 ].

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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