- Ripple’s ongoing legal battle with the SEC has pushed XRP below $2.20, with a settlement still uncertain and regulatory risks looming.
- Meanwhile, Bitcoin slid toward $104K amid rising U.S. trade tensions and weak economic data, impacting market sentiment.
Legal Uncertainty Clouds XRP Outlook
Ripple’s legal dispute with the SEC continues to weigh heavily on XRP’s market performance. Despite hopes for a settlement that could resolve nearly a decade of regulatory uncertainty, recent court filings and procedural delays have cast doubt on a swift resolution. Pro-crypto attorney Bill Morgan highlighted new court documents suggesting the presence of “decisive evidence” that could potentially settle core issues—yet the silence from the SEC during its final 2025 closed meeting fueled investor anxiety.
XRP’s price hit a high of $2.65 earlier in May, buoyed by optimism around a possible settlement. However, Judge Analisa Torres’ rejection of the SEC’s request for an indicative ruling on May 15 triggered a sharp drop below $2.20. The ruling cited procedural errors and insufficient justification for reducing penalties or lifting restrictions on XRP sales to institutional investors.
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The next 60-day window for the SEC to file a status report by June 16 will be pivotal. Should the SEC pursue appeals or fail to settle, XRP could face renewed downward pressure, potentially falling below the $2 mark. Moreover, ongoing legal battles threaten to stall the approval of XRP-spot ETFs, which would be a crucial catalyst for XRP adoption and price growth.
Bitcoin Falters Amid Trade and Economic Concerns
Bitcoin’s decline to the $104,000 range reflects broader macroeconomic headwinds. A recent U.S. Court of Appeals decision reinstating tariffs exacerbated fears of escalating U.S.-China trade tensions, which could stoke inflation and dampen global economic growth.
Weakening U.S. economic indicators—such as rising jobless claims and a drop in corporate profits—also weighed on investor sentiment. These factors combined to push BTC from highs above $108,900 downwards, alongside notable net outflows from major U.S. BTC-spot ETFs totaling nearly $472 million.
What’s Next for XRP and BTC?
Both XRP and BTC remain vulnerable in the near term. XRP’s trajectory hinges largely on the SEC-Ripple legal proceedings and the fate of ETF approvals. Meanwhile, Bitcoin’s outlook depends on trade developments, inflation data, Fed policy signals, and legislative progress on crypto-related bills.
Investors should watch for key updates in the coming weeks—especially the SEC’s June 16 status report, U.S. inflation figures, and any shifts in Fed rhetoric—to gauge whether XRP and BTC can reclaim recent highs or face further declines.
