Ripple (XRP) surges 13% as SEC drops appeal, ending legal battle

Ripple (XRP) has surged by 13% in the past 24 hours, reaching $2.54, following the Securities and Exchange Commission's (SEC) decision to drop its appeal in the ongoing legal battle with Ripple. The SEC had been contesting the July 2023 ruling that favored Ripple, which stated that the sale of XRP on exchanges did not constitute the offering of unregistered securities. This development marks the end of a prolonged legal dispute between the SEC and Ripple, allowing the cryptocurrency to potentially rise further.

Ripple CEO Brad Garlinghouse announced the news on X, declaring it a resounding victory for Ripple and the broader cryptocurrency industry. The SEC's appeal, lodged in October of last year, had hindered XRP's recovery despite a rally following the original ruling. The legal uncertainty had kept the cryptocurrency from reaching its full potential, but with the appeal dropped, Ripple is now free to expand its business without legal constraints.

XRP's price had previously rallied to as high as $3.30 following the original ruling, but the combination of tariffs and the ongoing legal battle had sent it back down to $2 earlier this month. With the legal action now concluded, XRP has the potential to rise back into the $3 range within a short period. The cessation of all legal action against Ripple gives the company the freedom to continue expanding its business, which could drive further growth in the value of XRP.

The end of the legal battle has also had a positive impact on market sentiment, with indicators such as the Relative Strength Index (RSI) showing bullish signs. The RSI has risen above 50, indicating strong momentum, and has plenty of room to continue rising before entering an oversold position. This suggests that more gains are likely in the near term. Additionally, open interest in XRP has increased significantly, rising from $2.90 billion to $3.82 billion since the SEC's decision.

With the legal uncertainty now resolved, the future looks bright for XRP. The cryptocurrency is still 26% down from its all-time high of $3.40, but with the potential for further gains and an improving economic outlook, it could easily rise much higher in the near term. The longer-term picture for XRP also looks positive, with nine XRP ETFs still awaiting potential approval later this year. This could provide additional catalysts for growth and further solidify XRP's position in the cryptocurrency market.