Grayscale Hands XRP 26% Of Their Bitcoin-Free Portfolio

Grayscale has just considerably lifted their vote of confidence in regards to Ripple’s native XRP coin. The multi-trillion dollar asset managers just renewed their Digital Assets Next Gen model portfolio, which now includes 26% XRP, the second largest asset in the roster.

The only bigger allocation is the 42.34% of Ethereum (ETH). The portfolio consists only of major-cap altcoins, skipping Bitcoin (BTC). Solana (SOL) & Cardano (ADA) take up a considerable chunk of the altcoin pie, while Grayscale also ascribed SUI & LINK 5% each.

Singling out Ripple’s XRP token as the second largest holding, Grayscale’s new favorable XRP allocation shift comes years after the financial giant rolled out their XRP-based exchange-traded fund (ETF) on the New York Stock Exchange (NYSE). The figures are considerably small when compared to Bitwise’s Ripple-based ETF or Franklin Templeton’s.

However, Grayscale actually holds XRP at Coinbase Custody and doesn’t simply speculate on the Spot market’s value. That kind of conviction in XRP as a long-term investment vehicle shows in other ETFs too: Current SoSoValue data suggest U.S. spot XRP ETFs collectively hold roughly 1.1 billion XRP, creating a quickly-growing institutional pool.

Surely, the bigger question remains whether this can reflect on XRP’s price in a major way beyond crypto funds. Grayscale’s public recognition of XRP in such a magnitude comes with most Ripple-based Spot ETFs outperforming BTC & ETH over the past few weeks. The price still tumbled 8.8% on Wednesday following a spectacular 42.6% XRP price rally.

Now, the market watchers are awaiting the Federal Reserve decision whether or not to raise the rates: this could either soften the Clarity Act infused market pullback or deliver another blow to the already-fragile altcoin market.

XRP’s bulls now have to defend the Double EMA line at $1.28 - if the daily close sustains above this level, the OG altcoin can find the local bottom.

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