XRP lawsuit nearing its end, but XRP price struggles! Will Ripple’s legal win fuel a rally, or is a drop to $1.60 coming?
Ripple SEC Case Could Conclude in 60 Days
The prolonged legal battle between Ripple and the U.S. Securities and Exchange Commission (SEC) is finally nearing its end. While some believe the case is already settled after both parties withdrew their appeals, legal expert Fred Rispoli disagrees. He states that the lawsuit remains unresolved but will likely be officially concluded within the next 60 days.
Ripple’s Chief Legal Officer, Stuart Alderoty, hinted that all necessary paperwork for a settlement has been prepared. The final step involves the SEC commission’s vote, expected within 30 days. If approved, the SEC will request the judge to lift the injunction, which Ripple will not oppose. Judge Torres is then expected to sign off on the motion within another 30 days.
However, Rispoli warns that changes in crypto regulations or shifts in government leadership before 2028 could potentially revive legal challenges for Ripple.
XRP Price Struggles Despite Legal Progress
Despite the positive legal developments, XRP’s price remains under pressure. The token has dropped 3.8% in the past 24 hours, trading at $2.35. Several factors contribute to this decline:
- Lack of Market Excitement: XRP failed to rally after Ripple withdrew its cross-appeal against the SEC, signaling a lack of strong investor interest.
- Bearish Market Sentiment: Open interest (OI) in XRP futures has declined 52% since January, suggesting reduced trading activity. Additionally, negative funding rates indicate bearish sentiment among traders.
- Technical Weakness: XRP recently broke below a critical support level at $2.45, confirming a bear flag pattern. If it fails to hold support at $2.22, a further drop to $1.60 or lower is possible.
Will XRP Recover? Key Price Levels to Watch
For XRP to regain momentum, buyers must defend key support levels:
- $2.22 – A crucial support zone that could prevent deeper losses.
- $2.00 – If broken, XRP could face a significant downturn.
- $1.60 – A worst-case scenario based on the bear flag pattern projection.
Renowned trader Peter Brandt has also identified a head-and-shoulders pattern on XRP’s chart, warning that a drop below $1.90 could lead to a further 50% decline toward $1.07. However, if XRP manages to break above $3, it would invalidate the bearish outlook and signal a potential recovery.
Conclusion
The XRP lawsuit appears to be in its final stages, with a resolution expected in the next two months. However, XRP’s price struggles to reflect this optimism, facing bearish technical signals and weak market interest. Traders should closely monitor key support levels as the legal outcome unfolds.
