Litecoin has emerged as the top-performing cryptocurrency in the past 24 hours, climbing 12% in price. This surge follows a report by analysts James Seyffart and Eric Balchunas, who ranked Litecoin as the most likely altcoin to secure approval for an exchange-traded fund (ETF) by the U.S. Securities and Exchange Commission (SEC). With a 90% probability of approval, Litecoin's price hike reflects growing optimism in the market.

Seyffart and Balchunas attribute Litecoin's high approval odds to its classification as a Bitcoin fork. The SEC, which already regards Bitcoin as a commodity rather than a security, may apply a similar regulatory framework to Litecoin. This gives it an edge over other altcoins vying for ETF approval.

Dogecoin, a popular meme coin, was ranked second with a 75% chance of approval. Despite its origins as a joke, Dogecoin's chances have been bolstered by the SEC's evolving stance on crypto regulations under Hester Peirce’s Crypto Task Force. The task force aims to clarify whether crypto assets should be treated as securities or commodities, potentially easing regulatory pressure on Dogecoin.

Solana, while gaining 0.3% in value, faces more challenges, with a 70% likelihood of approval. Its classification remains less favorable than Litecoin or Dogecoin, as the SEC has not yet categorized Solana in a manner that would facilitate an easier path to ETF approval.

Ripple (XRP) remains the least likely to receive approval, with a 65% chance. XRP's ongoing legal battle with the SEC over its classification as a security has hindered its approval prospects. The lawsuit’s outcome will likely have a significant impact on XRP’s eligibility for an ETF.

The broader crypto market also responded positively to the report, with gains seen across various altcoins. Analysts believe that as the SEC’s stance on crypto assets continues to evolve, the likelihood of ETF approvals could grow, potentially driving further market optimism.