SEC's Closed-Door Meeting Raises Hopes for Ripple's XRP

The U.S. Securities and Exchange Commission (SEC) held a closed-door meeting on February 27, 2025, sparking speculation about the future of the Ripple lawsuit. The SEC has shown leniency towards cryptocurrencies in recent cases, dropping charges against major firms like Robinhood, Coinbase, and Uniswap. This has led traders to wonder if Ripple's future will follow a similar path.

The Ripple lawsuit began in December 2020, during the COVID-19 pandemic, when the SEC sued Ripple, claiming that XRP was being sold as an unregistered security. However, Judge Analisa Torres weakened the SEC's case by stating that XRP is not a security protocol or tool itself. As XRP continues to grow in the market and pressure mounts on the SEC, some believe the agency may drop its claim.

In a recent meeting, SEC officials discussed settlements and legal matters, although the details were kept secret. While former SEC lawyer Marc Fagel does not see this as a sign of progress, pro-XRP lawyer Bill Morgan believes XRP has the upper hand in the case.

The political unrest has led to a downward trend in cryptocurrency prices, with XRP experiencing a recent drop of 8.19% and its market cap hitting USD 142bn. However, if the SEC withdraws the case in the future, the price of XRP could rise sharply. Some predict a jump from $2.03 to $3.20 within a short period.