XRP News Today: XRP Drops 1.2% Amid SEC Court Deadline Anticipation

XRP is currently trading within a narrow range, with market participants closely monitoring an upcoming court deadline in the ongoing legal battle between the U.S. Securities and Exchange Commission and Ripple. At the time of reporting, XRP is priced at $2.26, reflecting a 1.2% daily decrease and positioning itself near the midpoint of its weekly trading range, which spans from $2.09 to $2.33. Despite the subdued price movements, the asset remains above a critical support level and exhibits signs of compression, a phenomenon often preceding heightened volatility.

Market participation has slightly decreased, as evidenced by a 4.1% reduction in spot trading volume from the previous day. However, derivatives volume has increased by 9.6% to $5.06 billion, while open interest has declined by 2.6% to $4.12 billion. This dynamic suggests that some traders are securing profits or hedging against potential volatility, while others are cautiously re-entering positions in anticipation of a significant event.

The anticipated catalyst is the U.S. Securities and Exchange Commission's obligation to submit a settlement progress update to the Court of Appeals by June 16. This update is part of the protracted legal dispute between the SEC and Ripple. Thus far, there has been minimal progress on the legal front since Judge Analisa Torres denied the agency's request for an indicative ruling. Although hopes for a swift resolution have waned, the SEC has a history of filing motions at the last minute. A decision by the SEC to withdraw its appeal could significantly enhance XRP's legal clarity and pave the way for an XRP spot exchange-traded fund, an outcome that some market participants have already factored into their expectations. On Polymarket, the likelihood of an XRP ETF approval by the end of 2025 is currently at 86%, with a 26% chance of approval by July 31.

From a technical standpoint, XRP is consolidating just above its 20-day moving average, where it has spent much of the past week. The narrowing of the Bollinger Bands indicates a decrease in volatility and suggests that a more substantial price movement may be imminent. The price is testing a series of short-term resistance levels between $2.26 and $2.30 and is currently trading just below the 50-day estimated moving average. Bulls will need greater momentum to break through this resistance zone, but a decisive move above it could open the path toward $2.50. The relative strength index is around 49, indicating a neutral market with a slight bias toward recovery. The MACD is almost above the signal line, signaling that buying pressure is gradually increasing.

If legal clarity attracts new inflows, a bullish break above $2.33 could bring $2.50 back into focus. Conversely, if XRP fails to maintain the $2.20 level, it may decline toward the lower end of its recent range, around $2.10, where buyers have previously intervened. The market is currently in a state of anticipation, with traders closely monitoring the legal developments and technical indicators for signs of the next significant move.