The near-term price trajectory of XRP is closely tied to the forthcoming SEC meeting on April 3, which could see a vote to withdraw the appeal related to its status as a security, News.Az reports citing CNBC.
Since Ripple’s announcement on 19th March regarding the SEC’s appeal withdrawal, XRP has experienced a significant decline, dropping 19% to trade at approximately $2.1088.
Despite the drop, optimism surrounding XRP spot exchange-traded funds (ETFs) persists, with 18 applications currently pending. Regulatory clarity in this area could potentially trigger a price surge, bringing XRP closer to record highs.
Ripple CEO Brad Garlinghouse revealed on 19th March that the SEC intends to withdraw its appeal against the Programmatic Sales of XRP ruling. However, the SEC has remained silent on its future appeal plans. Ripple’s Chief Legal Officer, Stuart Alderoty, disclosed proposed settlement terms linked to Judge Torres’ Final Judgment, which suggest a reduction of the penalty from $150 million to $50 million, down from an initial SEC request of $2 billion. Additionally, the proposal includes vacating an injunction that has constrained XRP sales to institutional investors.
With the SEC’s closed meeting approaching, the prospect of an appeal withdrawal remains uncertain. XRP has faced substantial selling pressure since the announcement, and should the SEC delay its vote, the price could fall below $2.
Legal experts caution that a formal withdrawal process may require time. Pro-crypto attorney Fred Rispoli indicated that the SEC Commission is likely to vote within the next 30 days, positing that Judge Torres might also vacate the injunction within 30 days of the motion filing. He concluded, “At most, we are 60 days out from this being 100%, formally, legally, and spectacularly over.”
On April 1, XRP bounced back slightly, gaining 2.35% to close at $2.1389 after a 2.24% loss the previous day. However, it underperformed compared to the broader market, which rose 2.81%, bringing the total cryptocurrency market capitalisation to $2.7 trillion.
Amid concerns over tariff developments, the US labour market, and recession fears, the crypto market remains volatile. However, the resolution of the Ripple case is deemed critical for shaping XRP’s short-term outlook.
