The price of XRP has slipped back to the $2 mark after a pivotal court decision stalled hopes for a swift resolution in the long-running legal battle between Ripple Labs and the U.S. Securities and Exchange Commission (SEC). The latest twist came as Judge Analisa Torres denied a joint request from both Ripple and the SEC to reduce Ripple’s $125 million penalty and lift the permanent injunction on institutional XRP sales, keeping the legal uncertainty alive for the company and its investors .
Court Ruling Keeps Legal Pressure on Ripple
On Thursday, Judge Torres rejected the proposed settlement, emphasizing that private agreements cannot override a court’s final judgment. The court maintained that only “exceptional circumstances” would justify modifying a final order, and those conditions were not met in this case . As a result, the $125 million penalty remains in place, and the injunction restricting Ripple’s institutional sales of XRP stands .
Ripple’s Chief Legal Officer, Stuart Alderoty, responded by highlighting that the next steps are now up to Ripple and the SEC: they can either withdraw their appeals or continue to pursue them. Importantly, Alderoty reassured the community that the legal status of XRP as a non-security remains unchanged, meaning the token itself is not the focus of the ongoing litigation .
What Does This Mean for XRP and Ripple?
• The SEC’s case now targets Ripple as a company, not XRP as an asset, following Judge Torres’ earlier ruling that declared XRP a non-security .
• The court’s decision does not impact XRP’s trading on secondary markets or the prospects for future ETF filings.
• Ripple has already adjusted its business practices to comply with previous court findings, especially regarding past institutional sales.
Market Reaction and Analyst Outlook
The immediate market reaction was negative, with XRP dropping 4,4% in the last 24 hours and 10% over the past month, now trading at $2,08—about 38% below its all-time high of $3,40 . Despite the setback, some analysts remain optimistic. Chart patterns reminiscent of the 2017 bull run have led experts to predict a potential breakout, with price targets between $4,50 and $5,40 if market conditions improve.
What’s Next?
The legal standoff leaves Ripple at a crossroads: the company must decide whether to continue its appeal or seek a different resolution with the SEC. For now, the regulatory cloud persists, but XRP’s status as a non-security provides some clarity for investors and market participants.
