XRP Today News: US Government Shutdown ETF Postponed Deadline Approaching on October 18

The U.S. Senate voted for the ninth time on Wednesday, failing to reach the 60-vote threshold, causing the Republican funding bill to fail again, which extends the government shutdown by 15 days, and the SEC is short-staffed and unable to review the XRP Spot ETF. Today's news on XRP shows that the Grayscale deadline of October 18 is approaching, but the approval from six issuers may be delayed until November, shattering hopes for an Uptober Rebound.

XRP once fell below the 2.4 USD support, but on October 16, it slightly rebounded to 2.41 USD for a breather. Despite the collaboration between Ripple and Absa Bank indicating growing institutional demand, political deadlock still dominates market sentiment.

Senate Deadlock Destroys XRP's October Uptrend

Due to the failure of the Senate vote on the Republican funding issue, the launch of the Spot ETF may be delayed until November. The price of XRP dipped below the support level of $2.4 on Wednesday, casting a shadow over the anticipated “Uptober” Rebound in October. Today's news focus on XRP is entirely centered on this political deadlock and its chain effects on the crypto market.

On October 15, the Senate's vote on the Republican funding bill failed for the ninth time to reach the required 60-vote threshold, exacerbating uncertainty over the issuance timeline for the XRP Spot ETF in October. The deep divisions between the two parties in the U.S. over budget issues have made government shutdowns a recurring political tool. The Democrats are insisting on including certain policy provisions in the funding bill, while the Republicans are insisting on pure budget appropriations, with neither side willing to compromise.

Due to the furlough of employees during the U.S. government shutdown, the SEC is severely understaffed, resulting in unavoidable delays in the review process. During normal operations, the SEC's review process has already been quite slow, requiring multiple rounds of feedback and revisions. Now, under the government shutdown, only a few employees deemed “essential personnel” will remain on duty, and ETF reviews are clearly not considered urgent matters, hence they are postponed.

The ETF listing schedule is in jeopardy

The final decision deadlines for six [XRP]/buy-ripple-xrp( Spot ETF issuers are concentrated in October, with Grayscale's XRP ETF final deadline set for October 18, which is fast approaching. This means the SEC must make a final decision to approve or reject by October 18, otherwise it will trigger an automatic extension procedure.

Due to the Senate's failure to pass the vote again on Wednesday, the market anticipates that the U.S. government shutdown may extend for 15 days or even longer, making it highly likely that the XRP Spot ETF will be delayed until November. This is undoubtedly a heavy blow for the eagerly awaiting XRP holders.

On October 1, XRP and the broader cryptocurrency market initially rose due to news of a government shutdown. This counterintuitive reaction may be because investors believe the government closure will force both parties to reach a compromise quickly, thereby accelerating the approval of ETFs. However, as the Senate stalemate continues and could delay the launch of the XRP Spot ETF until November, the initial optimistic demand has faded, replaced by a disappointing sell-off.

Affected by the dual impact of the U.S. government shutdown and escalating tensions in U.S.-China trade, XRP fell below $2.5 in October, accumulating a decline of 14.71%. The market had previously bet that XRP would reach a new high in the so-called “Uptober,” but reality has clearly diverged from expectations.

) Chain Reaction: Not Just ETF Delay

Another overlooked angle in today's news about XRP is that the government shutdown's impact goes far beyond just the ETF delay. The Senate stalemate is also hindering broader cryptocurrency legislation and the review of Ripple's banking license application.

Several key events may affect the demand for ###[XRP]/sell-ripple-xrp(, including the XRP Spot ETF, Ripple obtaining a U.S. chartered bank license, and the Senate vote on the market structure bill. These three catalysts were originally expected to materialize in October or November, but now they are all stalled due to the government shutdown.

The Market Structure Bill aims to provide a clearer regulatory framework for cryptocurrencies, clearly distinguishing which crypto assets are classified as securities and which are classified as commodities. This legislation is crucial for the entire crypto industry, and particularly significant for XRP—if the bill clearly states that XRP is not classified as a security, it will completely eliminate the legal shadow that Ripple has been entangled with the SEC over the past few years.

Ripple's application for a U.S. chartered bank license is also a significant strategic move. If approved, Ripple would become one of the first crypto companies to obtain a federal banking license, which would greatly enhance its status within the traditional financial system. However, the review process by the Office of the Comptroller of the Currency (OCC) is also frozen during the government shutdown.

These delays have led investors to choose to take profits until there are clear signs indicating the timeline of key votes and decisions that could trigger the next breakthrough for XRP. The market hates uncertainty, and when the timelines of multiple significant catalysts become vague, a cautious wait-and-see approach becomes a rational choice.

) Ripple's institutional progress overshadowed by political shadows

The critical news that the issuance of the XRP Spot ETF may be delayed has overshadowed other key positive developments related to Ripple, which are generally favorable for XRP. The overlooked positive factors for XRP include:

Macroeconomic benefits of the Federal Reserve's policy shift

Federal Reserve Chairman Powell hinted that the quantitative tightening (QT) policy might come to an end, with the market betting that the Fed will cut interest rates in October and December. Rate cuts typically boost demand for risk assets and increase market liquidity, which is an overall positive for cryptocurrencies including XRP. However, this macro-level positive is completely overshadowed by the political deadlock.

CME Launches Institutional Signal for XRP Futures

The Chicago Mercantile Exchange Group (CME Group) has launched XRP futures contracts regulated by the CFTC (Commodity Futures Trading Commission), indicating a continued increase in interest from institutional investors. CME is the largest derivatives exchange in the world, and the launch of XRP futures signifies that mainstream financial institutions' demand for XRP has reached a certain scale. The introduction of such institutional-grade products is often an important sign of an asset's maturity and mainstream acceptance.

Ripple Custody and Absa Bank's Milestone Partnership

Ripple Custody has partnered with South Africa's Absa Bank, which is one of the rare highlights for XRP. Ripple President Monica Long shared Absa's announcement, stating: “Last month, we announced the launch of RLUSD on the African continent… Today, we are announcing Ripple Custody through our partnership with one of South Africa's leading financial institutions, Absa Bank!”

Absa Bank is one of the largest financial institutions in South Africa, and this collaboration marks a significant breakthrough for Ripple in the African market. Industry observers believe that the strategic implications of XRP are far-reaching and more directly related to the practicality of XRP. Cryptocurrency lawyer Bill Morgan commented on the partnership with Absa: “Ripple's collaboration with Pan-African banks involves not only custody but also seems to be closely related to the broader demand for Ripple's payment solutions in Africa. As always, with the release of these announcements, you will surely be able to understand more about the stories behind the announcements.”

This collaboration is another cornerstone for Ripple's recognition by mainstream financial institutions and is expected to enhance market interest in XRP and other Ripple products. Importantly, partnerships with major financial institutions under a strict regulatory framework indicate that Ripple can operate within a complex compliance environment. This is a key attribute that distinguishes Ripple from other more speculative altcoins.

XRP Technical Analysis: $2.4 as the Bull-Bear Divide

![XRP/USD Daily Chart]###https://img-cdn.gateio.im/webp-social/moments-87a9b3933a-71235fef6b-153d09-69ad2a.webp(

(Source: Trading View)

On October 15, XRP fell again by 3.72% after a drop of 3.92% the previous day, closing at $2.4124. Despite the significant decline in XRP, the closing price barely held above the key support level of $2.4. However, the performance of the token lagged behind the market (-2.44%) and continued to stay below the 50-day and 200-day exponential moving averages (EMA), further confirming the bearish trend.

From a technical perspective of XRP, the key technical levels to pay attention to include:

Support levels: $2.4 (currently being tested), $2.0 (important psychological barrier), and $1.9 (deeper support).

Technical resistance levels: The 200-day EMA is at $2.6296, and the 50-day EMA is at $2.8130. Both of these moving averages are currently above the price, creating pressure.

Psychological resistance levels: $2.7 and $3.0. $3.0 is a round number and also a psychological target price for many investors.

The XRP daily chart has issued a clear bearish price signal. The price continues to operate below two key moving averages, indicating a weak medium to long-term trend. If it falls below $2.4, the next support level is at $2.0, which will be a severe test of market confidence.

) Bullish and Bearish Scenario Analysis

In the upcoming trading days, several key drivers may determine the recent price trend of XRP.

Bearish Scenario: Risk Below 2.4 USD

BlackRock Remains Silent: BlackRock has remained silent on its XRP Spot ETF plans and has not submitted the S-1 filing for the iShares XRP Trust.

Senate deadlock continues: The deadlock in the U.S. Senate has delayed the launch of the XRP Spot ETF until November or later.

Legislative Standstill: Lawmakers have postponed cryptocurrency-friendly legislation, including the Market Structure Bill, and regulatory uncertainty continues.

Slow corporate adoption: Blue-chip companies are avoiding using XRP as a treasury reserve asset, and institutional adoption is progressing less than expected.

Banking License Delay: OCC Delays or Rejects Ripple's U.S. Chartered Bank License Application.

SWIFT Competition: SWIFT maintains its market share in the global remittance market, limiting Ripple's market penetration.

These bearish scenarios could pull XRP back to $2.4 and below. Losing $2.4 would lead XRP to test $2.0, which could further test deeper support at $1.9.

Bullish Scenario: Heading Towards 3 Dollars

Trade Easing: The tension between China and the United States has eased, and the APEC summit has released positive signals.

Government Restart: The U.S. government reopens, and the SEC resumes normal operations.

ETF Approval: BlackRock submits S-1 filing for iShares XRP Trust, SEC approves XRP Spot ETF.

Corporate adoption: Blue-chip companies are purchasing XRP for financial purposes, with more payment platforms integrating Ripple technology.

Regulatory Breakthrough: Ripple Obtains US Chartered Bank License, Senate Passes Market Structure Bill.

Market share increase: Ripple weakens SWIFT's dominant position in the global remittance business.

These bullish scenarios could drive XRP to break through $2.7 and face a key psychological resistance test at $3.0. Once it stabilizes at $3.0, the next target could point towards $3.5 or even $4.0.

Investor Strategies and Key Observations

In the face of the current dual uncertainty of politics and the market, XRP offers investors several key observations:

Capitol Hill Update: All eyes are on the Senate. The tenth vote in the Senate will determine whether XRP rebounds to $3 or falls back to $2.0. Recent signs from the Democrats indicate a softening stance in support of reopening the government, which could trigger a market rebound.

US-China Trade Headlines: As the APEC summit approaches, the US-China trade situation will continue to affect price trends. A easing of the trade war may boost market sentiment, while an escalation of tensions could lead to further declines.

Federal Reserve Commentary: Remarks by Powell or other Federal Reserve officials may provide clues to the direction of monetary policy, influencing overall risk appetite.

Ripple official announcement: Pay attention to whether Ripple will announce new bank partners, technology upgrades, or the progress of the RLUSD stablecoin.

If the government quickly resolves the issues, the market landscape may change rapidly. Given Ripple's practicality in the real world, analysts expect strong demand for the XRP Spot ETF. Strong capital inflows could drive XRP to a new historical high, reversing the decline seen in October.