XRP News Today: Ripple's XRP Drops 4% After Judge Denies SEC's Motion

In the ongoing legal battle between the US Securities and Exchange Commission (SEC) and Ripple Labs, US District Judge Analisa Torres has denied the SEC's recent application. The agency had requested an indicative ruling to reduce financial penalties against Ripple and nullify a previous court order. This legal update caused XRP's price to drop to $2.09 before recovering slightly to around $2.10, resulting in a 4-5% dip in the market.

Judge Analisa Torres has also rejected Ripple and the SEC's request for a private settlement, stating that private deals do not erase public court decisions. Torres clarified that they cannot ignore a final court ruling and must either drop their appeals or continue the appeal process. This decision has introduced uncertainty around XRP's future, with market analysts advising traders to adjust their strategies accordingly.

Ripple faces a $125 million penalty and ongoing legal constraints on institutional sales. There is no fast-tracked settlement proposed, and pending appeals are likely to resume after August 15, 2025, pending a motion from the SEC. The legal update has caused XRP's price to drop by over 4%, with support zones being keenly watched by market participants for guidance. The key factors influencing short-term token price fluctuation continue to be volume-based levels and legal developments.

As traders balance technical support against legal uncertainty, coin price activity stays erratic. The next few days are crucial because $2.07 is the immediate tipping point. Short-term bullish setups might be reset and confidence restored with a bounce from this level. Buyer strength would be confirmed by a clear breach over $2.406, which might push the price of XRP closer to the $2.54 limit. On the other hand, downside risk toward $1.61 and $1.47 increases if momentum fails to hold at $2 or $1.95. Although market structure is currently weak, legal resolution continues to be the primary engine.

Despite the court ruling denying Ripple's motion in the SEC lawsuit, institutional interest in XRP remains strong. Major players like Grayscale, Fidelity, and Galaxy Digital are closely monitoring its legal progress. The token's utility in cross-border payments and blockchain infrastructure appeals to hedge funds and institutional portfolios. Its macro position is improving with major partnerships like Ondo Finance's US Treasury-backed tokens available on XRPL, and a strategic partnership with Japan's Web3 Salon supporting blockchain startups.

The community has demonstrated remarkable unity and resilience following the court's denial of Ripple's motion in its ongoing battle with the SEC. Some members have highlighted its historical resilience, having bounced back stronger from past legal challenges. Attorney Bill Morgan, a supporter of the community, criticized the SEC's appeal as a significant blow to the community, especially as a new bull market is emerging. He also noted Ripple might file a counter-appeal and noted that the SEC has not filed Form C with the Second Circuit.