Ripple price drops 20% after SEC case ends

After four years of legal litigation, the U.S. Securities and Exchange Commission (SEC) case against Ripple ended with a settlement that reduced the fine from $2 billion to just $50 million. This decision represented a moral victory for the company, as it successfully reduced the financial and legal burdens it faced, restoring some confidence to the crypto community.

However, XRP's performance did not reflect this victory. After rising to $2.60, the currency was unable to maintain its gains and fell to $2.05, representing a loss of more than 20%. This decline reflects the reality of the market, as the ruling was not enough to propel the currency towards a sustainable rise, given the ongoing uncertainty surrounding its future.

The biggest challenge facing XRP is its competition with USDT for the third place in the cryptocurrency rankings. Currently, the gap between the two is $25 billion, a gap that is difficult to close given the current pressure on XRP. Additionally, analysts warn that the currency could fall to $1.2 if the price breaks the $2 support level, making investors more cautious in their decisions.

Despite these challenges, Ripple continues to achieve success in other areas, such as institutional partnerships and the use of its technology in payment systems. However, the future of XRP remains uncertain, as it depends largely on developments such as the possible launch of an exchange-traded fund (ETF) or the company's initial public offering. Until these developments become clear, XRP's performance will remain volatile, awaiting stronger signals from the market and upcoming projects.