XRP Falls 5% on Profit-Taking After Ripple-SEC Settlement
XRP retreated 5% to trade around $3.30 following a 13% rally driven by the conclusion of the Ripple-SEC legal battle. The drop came as traders locked in profits, sparking a high-volume selloff that saw 209.7 million XRP change hands in a single hour. Buyers defended the $3.20 support level, triggering a rebound and establishing resistance at $3.31–$3.33. The SEC and Ripple Labs jointly dismissed their appeals, providing long-awaited regulatory clarity. Meanwhile, Japan’s SBI Holdings filed for a Bitcoin-XRP ETF, hinting at fresh institutional demand. Key technical indicators include a confirmed support zone at $3.20, a potential bull flag above $3.28, and intraday volatility of 5.24%. Traders will watch for a breakout above $3.33 and renewed ETF inflows to gauge market direction.
Neutral
The settlement between Ripple and the SEC removes a major regulatory overhang, offering long-term bullish potential for XRP. However, the immediate 5% pullback driven by profit-taking and a clear trading range between $3.20 and $3.33 suggests short-term consolidation rather than a directional breakout. Historical cases, such as price reactions following major regulatory news, show an initial selloff on profit-booking before renewed buying on clarity. Traders are likely to wait for a stable breakout above resistance or renewed ETF inflows before committing, leading to a neutral near-term outlook.