Approval odds for cryptocurrency ETFs are improving in 2025, with altcoins now gaining more traction.
Bloomberg analysts report that the lowest odds for approval are for an Avalanche ETF, yet still stand at 75%, signaling a more favorable regulatory environment for a broader range of assets.
Altcoin ETFs see higher approval chances
According to Bloomberg’s Eric Balchunas, altcoins like DOGE face an 80% likelihood of ETF approval, while Avalanche follows at 75%. These projections focus on applications submitted by firms with a strong track record in managing Bitcoin and Ethereum ETFs. There are 72 ETF applications currently under review, including those for smaller and niche altcoins. While some of these applications remain incomplete, expectations are rising that more approvals could arrive in the coming months.
ETF applicants have increased efforts to secure regulatory greenlights despite historical delays. Most ETF proposals in 2025 are centered on popular altcoins like Solana and XRP. Solana-based ETFs are gaining strong backing, while XRP has 19 pending applications. However, approval timelines remain uncertain as each proposal is at a different stage.
SEC delays continue to slow ETF launches
The U.S. Securities and Exchange Commission has continued to delay several high-profile ETF decisions. This includes proposals for an XRP spot ETF by Franklin Templeton, a DOGE ETF, and Ethereum staking products. Five separate ETF proposals were recently delayed, adding to expectations that approvals may only begin in the final quarter of 2025.
Despite delays, analysts believe the likelihood of approval remains high, especially for mainstream altcoins. Ethereum and Solana ETFs with staking options may become the most notable additions. Even as enthusiasm for meme tokens declines, legacy assets from previous bull markets remain key targets for new ETF listings.
Polymarket predictions support end-of-year approvals
The prediction platform Polymarket adopts similar positive outlook yet anticipates gradual price changes throughout summer months. There is a diminishing possibility that the ETF would be approved during the second quarter but approvals become more likely to be finalized by the end of the year. Solana ETF markets stand as the most popular exchange on Polymarket because users believe the approval possibility sits at 83% although Bloomberg estimates it at 90%. The various traders on the prediction platform have invested $142K in this market. Cardano, Litecoin, and XRP also show strong approval expectations, each near or above 87%. The launch of previous BTC and ETH ETFs resulted in minimal price increases that have made investors uncertain about market reactions. The story behind broad altcoin exchange-traded funds (ETFs) remains dynamic because institutional investors are showing increasing interest.