Bitcoin (BTC) Leads Bullish Recovery in Cryptocurrency Market, XRP Follows

As global markets stabilize following eased U.S. trade tensions, Bitcoin (BTC) has spearheaded a bullish recovery in the cryptocurrency sector

As global markets stabilize following eased U.S. trade tensions, Bitcoin (BTC) has spearheaded a bullish recovery in the cryptocurrency sector, with XRP leading altcoins. Optimism stems from anticipated tariff reductions between the U.S. and key partners like the EU, which has begun negotiations to avert a potential recession.

However, traders are eyeing potential setbacks, especially if macroeconomic trends worsen, which could stall the crypto market rally. Notably, the U.S. Congress is aiming to restrict President Biden's authority to impose tariffs, a move that could impact trade dynamics and ultimately factor into crypto price action.

Among altcoins, XRP has been a standout performer, largely driven by optimism surrounding the pending legal settlement between Ripple and the U.S. Securities and Exchange Commission (SEC). The lawsuit, which began in December 2020 when the SEC sued Ripple for allegedly selling unregistered securities, has been a major topic of discussion and legal analysis.

Both parties have now filed to hold the appeal in abeyance based on the parties’ agreement to settle. The settlement is awaiting Commission approval. No brief will be filed on April 16th. #SECGov v. #Ripple #XRPhttps://t.co/87Y7wIqr9c

Both the U.S. SEC and Ripple have filed a joint motion to temporarily suspend their appeals and pave the way for the ongoing settlement, according to a Monday report by Law360. This move signals a final stage in a legal battle that began in December 2020 when the SEC sued Ripple for allegedly selling unregistered securities.

"The parties hereby request that the Court hold the appeal in abeyance pending approval of the parties’ proposed settlement of this action by the U.S. Securities and Exchange Commission and any other pending motions in this matter," the joint motion stated, as reported by Law360.

The case has been closely watched by the crypto industry, with implications for how digital assets are classified and regulated. A ruling in favor of Ripple could pave the way for other crypto projects to operate more freely in the U.S.

Earlier this year, the U.S. SEC, reportedly chair Paul Atkins, has been classifying the token as a payment asset and not a security, signaling an imminent end in the long-standing legal battle.

As previously reported by Coinpedia, optimism surrounding the pending legal settlement between Ripple and the U.S. Securities and Exchange Commission (SEC) has contributed to the growth in the XRP Ledger (XRPL) ecosystem, particularly among institutional investors.

Recently, Ripple announced a $1.25 billion acquisition of Hidden Road, a prime brokerage specializing in crypto trading and liquidity solutions. This move aims to enhance trading volumes for XRP and Ripple’s stablecoin, RLUSD, by improving market infrastructure for institutional clients.

Moreover, Ripple's focus on cross-border payments—where XRP serves as a bridge currency for fast, low-cost transactions—positions it as a leader in blockchain innovation. As regulatory hurdles clear, expect banks and payment providers to accelerate XRP adoption, further driving demand.

After dipping below $2 amid early trade war fears, XRP has slid back above a key support level as broader market volatility continues to pose challenges.

However, optimism surrounding the pending legal settlement between Ripple and the U.S. Securities and Exchange Commission (SEC) is offering some respite to traders.

The altcoin, which has a fully diluted valuation of approximately $200 billion, recently clocked out of its 50-day moving average, confirming a market reversal on the daily chart.

This development signals a shift in technical momentum, which could be influenced by institutional outflows or inflows, ultimately impacting XRP's price trend.

Key Levels to Watch:

Despite the legal optimism and technical indicators, macroeconomic issues might influence the big picture.

If bullish momentum continues and it closes above $2, XRP could rally toward $2.5, supported by investor optimism and the pending SEC settlement.

However, risks remain. Broader market volatility or unresolved global trade issues could pressure XRP back to lower support levels.

Traders should monitor the Relative Strength Index (RSI), currently at 65, as it nears overbought territory.

If the RSI rises further, it could indicate that price gains are becoming exhausted, potentially leading to a correction or consolidation phase.

Conclusion: What’s Next for XRP?

With Bitcoin paving the way and Ripple engaging in strategic investments, the stage is set for XRP to flourish in 2025. The pending SEC settlement and Ripple’s focused institutional expansion moves suggest a maturing ecosystem.

However, traders should remain vigilant of macroeconomic risks that could truncate the anticipated bull market in cryptocurrencies.