SEC Project Crypto Triggers XRP & SOL Selloff
SEC Project Crypto aims to update US blockchain regulations with a transparent framework for on-chain trading, tokenized assets, and decentralized custody. The plan includes exemptions, safe harbors, and clear guidance on ICOs, token launches, airdrops, and staking rewards.
Traders reacted with caution. XRP price plunged over 3.5% to $2.89 on heavy volume as RSI hit oversold and MACD turned bearish. Solana (SOL) fell from $169.34 to $166.13, with RSI near 27 and on-balance volume declining. The selloff reflects profit-taking and uncertainty over enforcement timelines under SEC Project Crypto.
Short-term volatility is likely as market participants digest the scope and timeline of the new rules. In the medium term, clearer regulatory guidance could enhance market stability and drive growth in blockchain-based capital markets.
Bearish
The announcement of SEC Project Crypto triggered profit-taking and risk-off sentiment in XRP and SOL markets, causing sharp selloffs and oversold technical signals. Traders remain cautious amid enforcement and timeline uncertainties, driving short-term bearish pressure. While long-term regulatory clarity could stabilize markets, immediate price action reflects a negative outlook for these tokens.