XRP Price Approaches a Key Legal Development as the Ripple Community Watches Closely

The Ripple community is watching closely as XRP approaches a key legal development in its ongoing battle with the U.S. Securities and Exchange Commission (SEC).

The Ripple community is closely watching as XRP approaches a key legal development in its ongoing battle with the U.S. Securities and Exchange Commission (SEC).

With a resolution expected within the next 60 days, there are growing hopes that this could pave the way for the approval of an XRP exchange-traded fund (ETF), offering a boost to investor sentiment.

However, despite this possible legal turning point, the price performance of XRP tells a different story, as the digital asset has faced declines in early 2025.

Among the major cryptocurrencies, XRP has been one of the most affected assets, seeing a 35% drop in value starting from the beginning of 2025. This slump persists even with XRP being part of the US strategic reserve, much like other assets such as Bitcoin, Ethereum, Cardano, and Solana.

As the legal case between Ripple and the SEC enters its final stages, there are increasing expectations for an ETF to be approved shortly after the case concludes. An ETF would allow for more accessible investment in XRP, potentially leading to heightened interest and trading volume in the digital asset.

Betting on XRP’s All-Time High

According to Polymarket betting data, the chances of XRP reaching a new all-time high before July 2025 have decreased drastically.

Following Donald Trump’s inauguration, there were nearly 90% odds on XRP hitting a new all-time high. However, these odds have drastically dropped to just 4% at present.

Current Market Data and Liquidation Trends

In terms of the latest market performance, XRP has shown a slight gain of 2.04%, bringing its price to $2.16. However, the 24-hour trading volume has seen a decrease of 4.42%, amounting to $4.13 billion.

XRP’s market cap is $125.9 billion, with a circulating supply of 58.2 billion XRP out of a total supply of 99.98 billion. The maximum supply cap is set at 100 billion XRP.

The chart on XRP total liquidations showcases the varying levels of the asset’s price and liquidation events. From October 2023 through March 2024, XRP experienced different stages of volatility.

During periods of price movement, there were more short and long liquidations. Notably, liquidations increased during surges in late 2023 and early 2024. This pattern highlights the market’s reactivity to price shifts. As of March 2024, XRP’s price appears to be stabilizing around $2.00, with liquidations dropping off after the rapid rise in early March.

Technical Indicators Show Bearish Signals

In terms of technical analysis, the Relative Strength Index (RSI) stands at 42.74. This level indicates that XRP is nearing oversold conditions but has not yet entered the oversold zone, which is typically defined by an RSI reading below 30.

The RSI measures the magnitude of recent price changes to assess an asset’s overbought or oversold status. In this case, the RSI approaching oversold levels suggests that the recent price declines have put downward pressure on XRP, and the bears still hold some momentum. However, the fact that it’s not yet oversold leaves room for a potential reversal if bullish trends emerge.

Moreover, there is a bearish Moving Average Convergence Divergence (MACD) formation. At the time of writing, the MACD line is spotted below the signal line, suggesting that more selling pressure is anticipated until the MACD line crosses above the signal line. This crossover would mark the onset of bullish pressure, which could be observed in the MACD histogram.

The MACD is a trend-following momentum indicator that signals trend reversals. A bearish MACD, like the one detected in the chart, indicates that the 12-period EMA (Exponential Moving Average) is moving slower than the 26-period EMA, and the MACD is decreasing. This suggests a strong downward trend with decreasing momentum.

The MACD line is lagging behind the signal line, which implies that the bullish momentum is not yet strong enough to sustain a positive trend reversal. Only when the MACD line crosses above the signal line will the bullish pressure become more dominant, and the MACD histogram will begin to rise, indicating increasing momentum in the bullish trend.