Story Highlights
- XRP price is stuck despite positive developments. Ex-Ripple director blames ongoing SEC lawsuit.
- The final court decision is seen as crucial for XRP’s future. The positive verdict could bring U.S. institutions on board.
- Ripple’s push for US licenses suggests confidence in an eventual legal win. Appeal unlikely to derail progress.
XRP price performance has baffled investors. The digital asset remains stagnant during bull runs and vulnerable during corrections. Recent positive developments, like a favorable court ruling in July 2023, haven’t translated into price gains. So, what’s holding XRP back?
Legal Cloud Looming Large
According to Sean McBride, a former Ripple director, the ongoing lawsuit by the SEC is the key obstacle. McBride believes XRP’s price will remain subdued until the final verdict from U.S. District Court Judge Analisa Torres. “Anyone expecting otherwise is simply mistaken,” he stated.
I think I’ve mentioned this before. Nothing significant is going to happen with the price of XRP until Judge Torres makes her decision. So anyone expecting anything different is delusional. The next big piece of this is clear legislation in the US. Hopefully that is on the way…
— Sean McBride (@seanmcbride16) June 11, 2024
The SEC alleges XRP is a security, stifling institutional adoption. A July 2023 ruling rejecting this claim initially boosted XRP by 100%, but the price has since slumped, currently trading at $0.48. This persistent weakness suggests the legal cloud continues to cast a shadow.
Judge’s Decision Could Be the Catalyst
McBride suggests that Judge Torres’ final decision will be a turning point. It could clarify the regulatory landscape, potentially paving the way for US institutions to embrace XRP. This, according to McBride, could be the “flip switch” for XRP’s price.
Ripple’s aggressive pursuit of Money Transmitter Licenses (MTLs) in the US further bolsters this view. McBride emphasizes that Ripple wouldn’t invest heavily in such infrastructure without anticipating a positive outcome.
While an SEC appeal is a possibility, McBride downplays its impact. He believes a favorable ruling for Ripple would unlock significant opportunities, even if the SEC appeals. The appeal process wouldn’t prevent US institutions from starting to work with Ripple, he argues.
The XRP community awaits Judge Torres’ verdict with bated breath. A clear resolution to the legal battle could be the key to unlocking XRP’s true potential.
