The legal battle between Ripple and SEC has been a key factor in determining XRP’s market dynamics. Recent developments suggest that the SEC may drop its lawsuit against Ripple, sparking interest in the cryptocurrency community about XRP’s future trajectory.
The SEC’s Shift in Stance
Under the leadership of acting chairman Mark Uyeda, the SEC has withdrawn lawsuits against major crypto companies such as Coinbase, Binance, and Consensys. This has led to speculation that the regulator might also dismiss its case against Ripple. A favorable outcome for Ripple could boost investor confidence in XRP, potentially triggering a significant price rally. Many experts, including a former SEC official, believe this lawsuit could soon be dismissed.
A Major Hurdle for Ripple
One of the greatest challenges for Ripple has been the permanent injunction prohibiting the sale of XRP to institutional investors. The court determined that the company’s XRP sales to institutional investors violated securities laws, resulting in a $125 million penalty and a permanent injunction on further institutional sales. An expert recently described this barrier as the major hurdle for Ripple, as the company can easily cover the penalty, but negotiating with the SEC could remove this obstacle, increasing institutional involvement and boosting demand and price.
What Could Happen Next?
Experts and analysts have shared predictions for XRP if the lawsuit ends. An analyst recently predicted a price surge to $50. ChatGPT also provided insights into XRP’s potential price movements. According to ChatGPT, if XRP replicates the pattern observed after Judge Torres’ ruling, its price could increase by 101%, moving from $2.28 to around $4.58. In a more optimistic scenario, the digital asset could increase by 200% to $6.84 due to growing interest. Immediate adoption by major institutional players, like Bank of America, could push XRP’s price up by 500% to $13.68.
The fate of XRP is closely tied to the resolution of the Ripple vs. SEC case. Ending the lawsuit could significantly impact investor confidence and XRP’s market value.
