As the crypto market watches the Ripple vs. SEC case inch toward a possible resolution, growing concerns are emerging that XRP’s price may face downward pressure regardless of the outcome.
While many investors remain optimistic about a bullish breakout if Ripple secures a favorable ruling, legal experts like Bill Morgan are sounding the alarm over the lingering uncertainty that continues to hang over XRP.
In a recent post on X, Morgan warned that prolonged litigation and speculation over settlement rumors might ultimately do more harm than good for XRP in the short term.
“The continuing uncertainty about the end or continuation of SEC v Ripple appeal will increasingly exert negative pressure on XRP price,” Morgan cautioned.
With the SEC dropping several cases against crypto firms recently, speculation has swirled that Ripple could be next to secure a settlement. Analysts have even tied XRP’s short-term price movements to the lawsuit’s potential conclusion.
However, Morgan’s warning highlights a critical risk for XRP holders: drawn—out legal proceedings and constant rumors could steadily chip away at market confidence, leaving XRP vulnerable to further selloffs.
The token’s current price performance reflects this tension. XRP is trading at $2.28, down 2.19% in the last 24 hours, with a monthly decline of 17%, even after a brief 9.47% rally last week. Meanwhile, 24-hour trading volumes dropped 12.5% to $3.66 billion, suggesting that investor interest is cooling.
Ripple’s Global Expansion vs. Legal Roadblocks
Despite the ongoing legal battles in the U.S., Ripple’s leadership insists the lawsuit has not stalled its growth. Eric van Miltenburg, Ripple’s Senior Vice President, described the case as little more than “theatre,” a distraction from Ripple’s broader global ambitions.
“Ripple continues to expand globally, and XRP adoption is rising, particularly in the U.S.,” Miltenburg asserted.
Miltenburg went as far as to label XRP a “geopolitical asset,” signaling that Ripple’s leadership sees the token as more than just a cryptocurrency, potentially positioning it as a critical piece of future financial infrastructure.
Still, the SEC’s persistent push to classify XRP as security keeps a cloud of regulatory risk over the project, making any price prediction increasingly speculative.
Divided Opinions on How and When the Case Will End
Legal experts remain split on when the lawsuit might end and what that means for XRP’s price action.
- MetaLawMan and Jeremy Hogan suggest a potential delay, pushing resolution into mid-2024.
- Meanwhile, Fred Rispoli believes an early settlement could materialize as soon as March or April.
President Donald Trump’s re-election could complicate the timeline, which could steer the SEC’s approach to crypto regulation. Some argue that a deal might come sooner than expected with the agency’s recent softer stance.
However, as Morgan points out, constant shifts in sentiment—fueled by rumor mills and a lack of clear timelines—might erode XRP’s stability in the coming months.
Despite the legal headwinds, some analysts remain bullish. Influencers like Good Morning Crypto project a springtime rally for XRP, while one expert has gone as far as to forecast a $100 price target during the next bull cycle.
Yet these predictions clash with the harsh reality of current market performance and legal limbo. As long as Ripple’s case drags on, the token may struggle to break free from bearish pressures, especially if investor patience wears thin.
Final Takeaway
Bill Morgan’s warning cuts to the heart of the issue uncertainty is a price killer in volatile markets. Whether Ripple wins or settles, the time it takes to get there could strain investor sentiment and suppress XRP’s price action.
For now, XRP’s future hinges not just on court rulings but on how long the market can endure the waiting game. If Ripple emerges victorious, XRP could soar. But until then, expect more turbulence as the case continues to cast a shadow over one of crypto’s most-watched tokens.
