Market News

Ripple's Legal Battle with the SEC: What It Means for XRP and ETF Prospects

The ongoing legal saga between Ripple and the SEC has taken a new twist with Judge Analisa Torres denying both parties’ request for an indicative ruling.

This decision means that the current case will progress in the appeals process without any adjustments or signals of change from the judge.

Despite this apparent setback, legal experts suggest that XRP's presence in the secondary market and upcoming ETF approvals are unlikely to be significantly impacted.

Attorney Fred Rispoli noted that the existing injunction against Ripple will only pose issues if the SEC actively enforces it, which does not seem forthcoming.

Furthermore, the SEC has the discretion to provide waivers that could clear the path for Ripple regarding any IPO or ETF listings, as there are no concrete rules preventing this.

Market sentiment about an XRP ETF remains optimistic, with Bloomberg raising the probability of ETF approval in 2025 to 85% due to increasing XRP values and robust investor interest.

The evolving regulatory landscape in the U.S. crypto market is likely to benefit XRP as legal uncertainties begin to resolve.

In a separate but related development, XRP's price briefly dipped to $2.09 following the denial of the SEC motion but has since shown signs of recovery.

Current technical analysis indicates a bearish trend; however, should XRP maintain above key support levels, it could rebound and challenge resistance zones.

The future trajectory of XRP and its ETF prospects hinges largely on how the legal battle unfolds, along with the SEC's approach to enforcement.