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XRP’s Rollercoaster Week: Legal Triumph, ETF Mania & Wild Price Swings (Sept 26, 2025) – ts2.tech

Landmark SEC Case Resolution: One of the most significant developments underpinning XRP’s recent fortunes is the final resolution of Ripple’s SEC lawsuit. In early August 2025, Ripple Labs and the U.S. SEC jointly agreed to dismiss their appeals, officially ending a legal battle that began in 2020 [49] [50]. This means District Judge Analisa Torres’ 2023 ruling now stands as the definitive outcome: XRP itself is not inherently a security, distinguishing between sales on public exchanges (non-securities) and past institutional sales (which did violate securities laws) [51]. Ripple did incur penalties – about $125 million in fines and an injunction against future unregistered institutional sales [52] [53] – but the closure of the case lifted a huge regulatory cloud from XRP. The impact on market confidence was immediate: XRP jumped ~5% to the mid-$3 range after the dismissal filing hit the news [54]. For the crypto industry at large, this outcome provided a rare legal precedent clarifying that open-market token sales (like XRP on exchanges) aren’t securities [55], offering relief after years of uncertainty.
New Crypto ETF Rules Ignite XRP Filings: Just as the legal win removed one barrier, U.S. regulators simultaneously opened another door. In mid-September 2025, the SEC approved new generic listing standards that dramatically streamline the approval of crypto-based ETFs [56]. Under the old regime, each crypto fund required a lengthy case-by-case review (often taking the full 240+ days). The new rules “eliminate the need for individual regulatory review of each crypto ETF application”, provided certain criteria are met [57] [58]. This has slashed approval times to 75 days or less and triggered a flood of filings for exchange-traded products tied to various altcoins [59] [60]. XRP is front and center in this wave. In fact, Reuters reported that analysts expect the very first ETFs under the new standards to be for Solana and XRP, debuting in early October 2025 [61] [62]. “We’ve got about a dozen filings with the SEC now, and more coming,” said Steven McClurg of Canary Capital, noting firms scrambled to update applications as soon as the rule change was in sight [63] [64]. Teddy Fusaro, president of Bitwise (one of the applicants), confirmed “those filings are pretty far along in the review process” [65] [66] – highlighting an expectation that approvals would be batch-issued in Q4 2025 rather than trickling out one by one.
First U.S. Spot XRP ETF Makes History: The rule change’s effects were immediate. On Sept. 18, REX Shares and Osprey Funds launched the first-ever U.S.-listed spot XRP ETF, trading under ticker XRPR on the Cboe exchange [67] [68]. This fund holds XRP directly and utilizes a novel structure (a ’40 Act fund with a Cayman Islands subsidiary) to comply with regulations [69]. XRPR’s debut was nothing short of record-breaking – it traded $24–$38 million on day one (reports vary), with Bloomberg’s Eric Balchunas noting $37.7M in first-day volume, the highest of any ETF launch in 2025 [70] [71]. The successful launch demonstrated pent-up investor demand for XRP exposure through traditional brokerage accounts. By all indications, XRPR is just the beginning: even before the SEC’s new fast-track process was announced, at least seven other spot XRP ETFs were already filed and awaiting approval [72]. The final decision deadlines for these filings fall between mid-October and mid-November, but speculation is the SEC may approve the whole batch at once as soon as Oct. 18 to avoid picking winners [73] [74]. In other words, multiple XRP ETFs “could be around the corner” (as one Nasdaq analysis put it) [75] – a scenario that would have been unthinkable during the dark days of the SEC lawsuit.
Rational Expectations – No Instant Moon: While the advent of XRP ETFs is undoubtedly a long-term positive, analysts are careful to temper short-term expectations. History shows that the anticipation of major events often drives prices more than the event itself. Indeed, XRP’s price surged throughout 2023–2024 in anticipation of legal victory and product adoption, gaining over 400% in the past year [76]. By the time the actual news hit – the lawsuit’s end in summer 2025 and the ETF launch in September – much of that optimism was arguably “priced in.” According to a Motley Fool report, “the rally happened before the news broke… The crypto actually fell in the weeks after [Ripple and the SEC] announced the end of their legal dispute.” [77] Similarly, XRP’s price dipped after the REX-Osprey ETF went live, despite strong trading volume, largely because the broader crypto market was already pulling back [78]. The lesson: an ETF approval “opens the door” to new capital, but doesn’t guarantee a price eruption without real sustained demand [79] [80]. In XRP’s case, the long-term investment thesis hinges on utility and adoption – i.e. “taking a piece of the global payments pie” in cross-border finance [81] [82]. ETF or not, institutions will only pile in if they see value in holding XRP, whether for its network usage or as a diversifier. Thus, while the regulatory winds are finally at XRP’s back, the coming months will test whether the asset can convert hype into genuine inflows and use cases.
Rally to Yearly Highs, Then Pullback: Prior to its recent pullback, XRP enjoyed a formidable uptrend for much of 2025. Boosted by July’s partial legal win and a generally bullish crypto market, XRP broke out above a multi-month consolidation in early September, even briefly reclaiming the $3.00 level [83] [84]. In fact, according to some analysts, XRP hit a new all-time high of $3.66 in late July 2025 [85] – slightly eclipsing its 2018 peak – before momentum waned. By mid-September, technical trader CasiTrades noted that XRP had formed a symmetrical triangle pattern for months and finally pushed upward, signalling that its “consolidation phase [was] now over” and a next leg up could be starting [86] [87]. She highlighted strengthening indicators like a rising RSI (mid-50s) and supportive moving averages, interpreting XRP’s surge past $3.00 as confirmation of a bullish breakout [88] [89]. In Elliott Wave terms, some chartists believed XRP was entering a “third wave” advance targeting ~$4.50 – which would represent roughly 50% upside and a new record high if achieved [90] [91]. Such optimism was bolstered by improving sentiment across crypto in August (Bitcoin and Ether were hitting their own peaks). All told, by early autumn many traders were looking for XRP to challenge the mid-$3s and beyond again.
September Sell-Off – From $2.92 to $2.75: Those bullish hopes met a test in the week of Sept. 20–26. XRP experienced a sharp sell-off in tandem with the broader crypto market, erasing a significant portion of its Q3 gains. On Sept. 25, after failing to sustain an intraday push above ~$2.90, XRP’s price was hammered down to about $2.75 in a matter of hours [92] [93]. Trading volume exploded to roughly 277 million XRP in an hour (over 2.5× the daily average) as what appeared to be heavy institutional selling pressure hit the order books [94] [95]. By the end of the Sept. 25–26 session, XRP was down ~5.8%, cementing a roughly 9% slide over seven days [96] [97]. Over $18–19 billion in market value evaporated in the week’s rout, and importantly, XRP lost its hold on the psychological $3.00 level [98] [99]. The sudden reversal confirmed a new resistance around $2.80 – a level that had previously been support – and put traders on high alert that the market’s character had shifted to short-term bearish.
Key Drivers of the Drop: Several factors drove XRP’s downturn, painting a picture of a market in “risk-off” mode:
Support Levels and Near-Term Outlook: With XRP now trading in the mid-$2.70s, all eyes are on support resilience. Analysts widely identify ~$2.75 as the immediate crucial floor – it’s where buyers stepped in during the late-session on Sept. 26 to halt the bleeding [113] [114]. Indeed, short-term support is now seen at $2.75–$2.77, according to CoinDesk market data, with any breach exposing downside toward $2.70 next [115] [116]. Crypto news outlet CCN emphasized that $2.75 is a “critical horizontal support”: losing it could “further accelerate the crash”, potentially sending XRP to “new lows” for the quarter [117] [118]. On the upside, $2.80 has flipped into initial resistance (the level of the sharp intraday rejection), with clusters of sell orders observed around $2.81–$2.82 from failed recovery attempts [119]. Beyond that, $2.99–$3.00 is the major psychological and technical barrier – as one analyst quipped, XRP needs to “reclaim $2.99 to neutralize bearish momentum” in the short run [120]. Until those levels are cleared, rallies may be sold.
Indicators to Watch: Traders are tracking a mix of on-chain and market indicators for clues to XRP’s next move. For one, large holders (“whales”) were active in the week’s volatility – about $800M in XRP was transferred by whales over the past week, per CoinDesk, suggesting repositioning [121]. If those whales resume selling, it could signal further downside. On the other hand, any evidence of fresh institutional inflows (perhaps via ETF creations or big custody moves) would be a positive sign. Additionally, volumes and open interest will tell us if the flush-out is over or if more leverage needs to unwind. As of Sept. 26, XRP’s trading volumes remain elevated – which can indicate capitulation and a near-term bottom, but also might reflect ongoing speculative churn [122]. The coming days will reveal whether the $2.70s hold firm, forming a base for relief, or if XRP revisits deeper support levels ($2.55 and $2.40 have been cited as next supports if decline resumes [123]).
With XRP at a crossroads, the community is somewhat split – bulls tout improving fundamentals and charts, while bears urge caution. Here’s a snapshot of the prevailing sentiment among notable analysts and investors:
Bullish Case – $4+ in Sight? Optimistic forecasters believe the recent dip is a shakeout on the road to higher valuations. The $4.50 target mentioned earlier comes from CasiTrades, a market veteran who sees parallels to past XRP breakouts. She notes that XRP spent much of 2023–2024 stuck under resistance, but after breaking out this summer and “reclaiming $3 support,” the stage is set for a significant rally [124] [125]. Her confidence partly stems from macro expectations – she alludes to possible U.S. quantitative easing or at least an eventual shift in Fed policy as a catalyst that could “spur market activity” in crypto broadly [126] [127]. If the stars align, a 50% surge from $3 to ~$4.50 would imply a new all-time high for XRP. “XRP is heating up!” she wrote on X (Twitter). “It has broken out of its months-long consolidation…with the $3 test now in play.” [128] [129] She also highlighted that XRP’s RSI and moving averages are trending positive, indicating strength behind the move [130] [131]. Notably, other analysts share variations of this bullish outlook: some chartists have pointed out XRP’s pattern in 2025 mirrors its 2017 bull run setup, hinting at a potentially explosive move if history rhymes. In an extreme take, a few influencers (e.g. the pseudonymous “Dr. Cat”) have thrown out sky-high figures like $10 or even $20+ in the distant future [132] – though such predictions are outliers and contingent on factors like mass adoption or even global financial shifts.
Bearish/Neutral Case – Don’t Count Chickens: On the other hand, conservative voices caution that XRP might not skyrocket overnight simply due to ETF news or legal clarity. The Motley Fool analysis on Nasdaq exemplified this tempered stance: “there are no guarantees…ETF approval opens the door, but there needs to be a solid investment case” for big money to flow in [133]. It pointed out that XRP’s huge gains over the past year were largely speculative, and in fact the token “fell in the weeks after” the legal victory and “dropped since the Rex-Osprey ETF started trading” [134] [135]. This suggests a classic buy-rumor-sell-news dynamic and implies that future ETF approvals might likewise not ignite sustained rallies unless accompanied by fresh demand. Additionally, technical skeptics underscore that XRP’s trend shifted downward after a blow-off top in July – a 25% drop from $3.66 highs, with lower highs forming since [136] [137]. If $2.75 fails, their worry is for a deeper retracement possibly towards the mid-$2s or lower (one technical support from earlier in 2025 lies around $2.40). From a fundamental angle, pragmatists argue that Ripple’s XRP must prove its utility to justify another parabolic run. While Ripple has made inroads (e.g. partnerships like the BBVA deal, or central banks exploring XRP Ledger for CBDCs), skeptics note that taking on SWIFT and global payments is a long game – bank adoption will be gradual and measured, not overnight. “Banking partnerships mean committee meetings, compliance reviews…moves slower than a snail,” an industry commentary quipped [138] [139], contrasting the methodical pace of institutional adoption with the fast “degen” gains crypto traders crave. Thus, the near-term outlook from this camp is for continued choppiness. They advise watching macro indicators (if U.S. bond yields keep climbing, crypto could stay under pressure) and Bitcoin’s performance (a BTC correction often drags XRP with it). Many also note that XRP’s correlation with equity markets isn’t zero – if stocks wobble due to economic concerns, that risk-off sentiment can spill into crypto.
Investor Sentiment Gauge: At the retail level, sentiment has pulled back from exuberance to cautious optimism. Social media chatter around XRP peaked mid-month when prices were high, but has cooled following the dip – Google Trends for “XRP” and “Ripple” were off their highs by late September. The Crypto Fear & Greed Index reading of 32 (“Fear”) on Sept. 26 tells us the market is nervous [140]. Yet, notably, prior to this pullback the same index had been in “Greed” during August’s highs, reflecting how quickly sentiment can flip. On forums and community channels, many XRP holders (self-styled “XRP Army”) remain long-term bullish, pointing to the major strides Ripple has made: defeating the SEC, expanding internationally, and now potentially benefiting from ETFs and regulatory clarity. To them, short-term volatility is a price of admission for outsized eventual rewards. Meanwhile, some short-term traders are openly discussing hedging or rotating – for example, moving funds into Bitcoin or even cash until XRP shows a definitive bottom, or employing options to guard against further drops. In summary, sentiment is mixed: there’s an undercurrent of excitement that “finally, XRP’s moment is coming” after years of setbacks, tempered by a realization that “we’ve run up a lot, and nothing goes up in a straight line.” This has translated to choppy price action and range-bound trading as bulls and bears tussle around key levels.
Beyond the token’s price, Ripple Labs – the company behind XRP – has been actively expanding its business, leveraging the more favorable landscape in late 2025:
European Expansion under MiCA: On Sept. 9, Ripple announced a significant partnership with Banco Bilbao Vizcaya Argentaria (BBVA), one of Spain’s largest banks [141]. Under this deal, BBVA will integrate Ripple’s digital asset custody platform to enhance the bank’s crypto services for retail clients [142] [143]. BBVA had already launched Bitcoin and Ether trading/custody in Spain, and now Ripple’s technology will enable the bank to manage those assets (and potentially others like XRP) with an in-house, secure custody solution [144] [145]. This partnership is an extension of Ripple’s prior collaborations – BBVA was using Ripple’s custody tech via Metaco (a Swiss firm Ripple acquired in 2023) in Switzerland and Turkey [146] [147]. What’s driving this expansion? Europe’s new MiCA (Markets in Crypto-Assets) regulation, which establishes a clear framework for banks to offer crypto services across the EU [148]. With MiCA passed, “the region’s banks are emboldened to launch the digital asset offerings their customers are asking for,” explained Ripple’s European MD, Cassie Craddock [149]. In essence, regulatory green lights in the EU have opened the floodgates for mainstream financial institutions to embrace crypto – and Ripple is positioning itself as a key infrastructure provider. The BBVA deal underscores that XRP’s ecosystem is not just about trading, but also about providing plumbing for traditional finance to handle crypto. While BBVA’s initial focus is on BTC and ETH for customers, the use of Ripple’s platform (which is asset-agnostic) could pave the way for more XRP integration down the line. Indeed, news of this partnership coincided with an 8% rally in XRP (above $3) in early September [150], as investors interpreted it as bullish for XRP’s real-world utility and demand.
Pursuit of a U.S. Bank Charter: On the U.S. front, Ripple has been making waves with an ambitious move – applying for a national bank charter. In July 2025, CEO Brad Garlinghouse revealed that Ripple filed paperwork to become a federally chartered bank (provisionally named “Ripple National Trust Bank”) [151]. This unusual step for a crypto company signals Ripple’s intent to be directly embedded in the traditional banking system, potentially offering custodial services and other banking products involving digital assets. The application, lodged with the U.S. Office of the Comptroller of the Currency (OCC), would give Ripple a regulated trust bank status if approved. By late September, this process was ongoing: October 2025 loomed as a decisive month, as Ripple was awaiting the OCC’s decision on the bank charter in parallel with the SEC’s ETF decisions [152] [153]. Gaining a bank charter would be a game-changer, allowing Ripple to access Federal Reserve payment systems (like a Fed master account) and bolster the credibility of its services (imagine Ripple offering crypto custody or international payments with the backing of a U.S. banking license). However, there has been some pushback – organizations like the ICBA (Independent Community Bankers of America) filed letters opposing Ripple’s charter, citing the company’s past regulatory run-ins and arguing that a crypto firm shouldn’t get a bank license so easily [154] [155]. It remains to be seen if the OCC will approve the application. But the mere pursuit highlights Ripple’s strategic shift: after beating the SEC, the company is doubling down on integrating with the traditional financial system rather than circumventing it.
Building Liquidity and ODL: Ripple’s core product, On-Demand Liquidity (ODL) – which uses XRP to facilitate instant cross-border payments – continues to expand, although specific new corridor announcements around late September were sparse in the news. Still, Ripple regularly updates that ODL volume is growing and new partners are joining. With the legal uncertainty gone in the U.S., Ripple can now more aggressively court American financial institutions for ODL or XRP-based solutions. In 2025, institutional interest in XRP also spiked due to its clarity: for instance, some crypto funds and liquidity providers increased their XRP holdings once it was deemed largely not a security. The approval of ETFs and custody solutions further provides infrastructure for institutions to get involved. Market sentiment among institutions seems cautiously positive – a report from earlier in the year (2025) suggested many fund managers were “underweight” XRP simply due to compliance concerns, but now were re-evaluating it since the SEC case ended. If XRP can maintain a top-three market cap and demonstrate continued volume and utility, more hedge funds, family offices, and perhaps fintech companies could add exposure. As a data point, Grayscale’s new Crypto 5 ETF (launched right after the SEC rule change) includes XRP as one of its five components [156] [157]. That means major U.S. investors in a broad crypto index fund are indirectly investing in XRP for the first time through a regulated vehicle. It’s another sign that XRP is shedding its pariah status and being viewed alongside the likes of Bitcoin, Ether, and other large-cap assets by the investment community.
Global Developments: In the wider crypto sphere, events often tie back to XRP as well. For example, central bank digital currency (CBDC) projects in various countries have experimented with private versions of the XRP Ledger. Any progress on that front (e.g., a country launching a CBDC on XRPL) would be a fundamental boost. Additionally, regulatory developments like the progress of the U.S. crypto market structure bill (mentioned in analysis as pending in the Senate) could influence Ripple’s operations. Ripple’s general counsel Stuart Alderoty has been vocal that clear laws (beyond just court rulings) are needed in the U.S. to fully unleash innovation. By late 2025, with a new administration in Washington, the regulatory climate is somewhat more favorable – notably, the SEC under new leadership has dropped a number of crypto cases, aligning with the Ripple outcome [158]. Internationally, the tone is also shifting: the UK, UAE, Japan, and others have been welcoming to Ripple.
In sum, Ripple’s business trajectory in late 2025 is one of legitimization and integration. The company is leveraging its courtroom victory to strike new deals (like BBVA) and even potentially become a regulated bank itself. This institutional embrace bodes well for XRP’s long-term usage – even if the market, in the short run, remains fixated on ETF approvals and price charts. As investors in XRP, it’s important to monitor not just the token’s price but also these fundamental developments at Ripple Labs, since real adoption (banks using XRP for settlements, companies building on XRPL, etc.) is what ultimately underpins sustainable value.
As of September 26, 2025, XRP finds itself at a pivotal moment. The past week encapsulated the dual nature of crypto developments: tremendous strides forward on the fundamental and regulatory front, contrasted with gut-check volatility on the market front. On one hand, years of uncertainty have cleared – the SEC saga is over, and XRP is gaining recognition in mainstream finance via ETFs and bank partnerships. On the other hand, the price action reminded everyone that even large-cap crypto assets can swing wildly, buffeted by broader market forces and trader psychology.
Key Factors to Watch in Q4 2025:
In conclusion, XRP enters the final quarter of 2025 with renewed legitimacy and momentum, yet facing the age-old test of converting that into sustainable price strength. The narrative has undeniably shifted: XRP is no longer marred by the “security or not” question in the U.S., and it’s on the cusp of being widely accessible through regulated investment vehicles. These are the kind of developments XRP enthusiasts have awaited for years. Still, the market’s message this week is that patience and prudence are required.
For the general crypto-curious public, the story of XRP around September 26, 2025, is a microcosm of the crypto market itself – high hopes, rapid developments, occasional setbacks, and an ever-present sense that something big could be just around the corner. Whether you’re an XRP holder or just watching from the sidelines, the coming weeks should be very interesting. Will XRP regain its shine and break new highs on a wave of ETF-fueled adoption? Or will it consolidate and take longer to gather steam as the hype is digested? The only certainty is that Ripple and XRP are firmly back in the spotlight, and the crypto world will be watching what happens next. As always, anyone investing in this space should stay informed (events are unfolding fast), manage risk, and keep a long-term perspective amid the short-term noise.
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