Today, XRP's price is declining, reflecting overall market fatigue and the impact of various factors, including legal issues and lack of network activity.
Judge's Ruling on XRP-SEC Case
The primary factor for XRP's price drop is Judge Analisa Torres' decision on the XRP SEC case. She denied a joint request from Ripple and the SEC for early feedback on their $50 million settlement deal. The judge made it clear that no decision will be made until the appeal process is complete, disappointing investors who hoped for a quicker resolution.
Decline in XRP Network Activity
The XRP network is also seeing reduced activity. XRP Scan data shows a significant drop in daily transactions and active addresses. Payments on the XRP Ledger fell from nearly 1.83 million per day to 277,147, an 84% decrease. Additionally, large XRP holders have begun selling, further pushing the price down.
Fading Hopes for ETF Approval
Investor hopes for U.S. based XRP spot ETF approval have also weakened. Just weeks ago, the chances of ETF approval were over 95%, but have now dropped to 76% following the latest court denial, leading many investors to take a wait-and-see approach rather than increasing their XRP positions.
The current challenges faced by XRP illustrate how legal risks and lack of activity can significantly pressure cryptocurrency prices. Investors should closely monitor developments in the market and the legal landscape.
