Nasdaq Crypto Index Inclusion and Japan Partnership Could Influence XRP Market Dynamics

• Nasdaq’s inclusion of XRP and other major cryptocurrencies into its benchmark crypto index marks a significant milestone, potentially enhancing institutional adoption and market visibility for these digital assets.

• The strategic partnership between Ripple and a leading Japanese Web Salon further strengthens XRP’s foothold in Asia’s burgeoning digital asset ecosystem, signaling growing international collaboration.

• According to COINOTAG, XRP’s open interest surged to $4.1 billion in June, reflecting heightened speculative interest and bullish sentiment among traders.

Nasdaq expands its crypto index to include XRP and others, while Ripple’s Japan partnership boosts XRP’s market interest and speculative activity.

Nasdaq Expands Crypto Index to Include XRP and Emerging Altcoins

The Nasdaq Crypto Index (NCI) is set to broaden its scope by incorporating Ripple’s XRP alongside Solana (SOL), Stellar Lumens (XLM), and Cardano (ADA), increasing the total number of tracked assets to nine. This expansion reflects Nasdaq’s commitment to capturing a more diversified representation of the crypto market beyond Bitcoin (BTC) and Ethereum (ETH). The move is contingent on regulatory approval from the U.S. Securities and Exchange Commission (SEC), with a decision expected by November 2, 2025. This development could pave the way for more comprehensive crypto investment products, offering investors diversified exposure while mitigating risks associated with single-asset holdings.

ETF Landscape and Regulatory Outlook for Crypto Assets

Currently, the Hashdex Nasdaq Crypto Index ETF is limited to holding only BTC and ETH due to regulatory constraints. Nasdaq’s application to include additional assets like XRP is a strategic attempt to broaden investor options. Meanwhile, the Bitwise 10 Crypto Index ETF awaits a regulatory decision by July 31, 2025. Year-to-date performance data reveals that while individual assets such as BTC have gained approximately 14%, XRP has experienced a modest 3% decline. In contrast, crypto index ETFs have generally delivered more stable but lower returns, averaging around 5%. This suggests that ETFs may provide a lower-risk investment vehicle, balancing volatility inherent in individual cryptocurrencies.

Source: Crypto index ETF performance, TradingView

Ripple’s Strategic Partnership in Japan Enhances XRP’s Market Position

Ripple’s recent collaboration with a prominent Japanese Web Salon aims to bolster the digital asset ecosystem within Japan, a key market for cryptocurrency adoption. This partnership is expected to facilitate greater integration of XRP in digital payments and blockchain-based services across the region. The announcement has positively influenced market sentiment, as evidenced by a notable increase in XRP’s open interest, reaching $4.1 billion in June for the first time this year. This surge indicates a growing appetite among traders and investors, potentially driven by expectations of increased utility and adoption in the Japanese market.

Technical Analysis and Price Outlook for XRP

Following these developments, XRP’s price demonstrated resilience by rebounding approximately 4%, moving from $2.10 to $2.30. The cryptocurrency is currently consolidating above critical moving averages and a short-term supply zone at $2.30. Should this level hold as support, XRP may target further gains toward $2.40 or $2.50, representing potential upside of 6% to 10%. Conversely, failure to maintain this support could trigger selling pressure, driving prices back toward the $2.00 mark. Traders should monitor these technical levels closely, as they will likely dictate near-term momentum and market sentiment.

Source: Coinglass

Source: XRP/USDT, TradingView 

Conclusion

Nasdaq’s initiative to expand its crypto index to include XRP and other altcoins represents a pivotal step toward broader institutional acceptance and diversified crypto investment options. Coupled with Ripple’s strategic partnership in Japan, these developments have invigorated XRP’s market dynamics, reflected in increased speculative interest and positive price action. While regulatory decisions remain a key factor for the future trajectory of crypto ETFs, XRP’s technical setup suggests potential for moderate gains if key support levels hold. Investors and traders should continue to monitor regulatory updates and market signals to navigate this evolving landscape effectively.