Despite the big news of Ripple Labs’ latest legal victory over the SEC, their native XRP token is continuing to go down a bearish path. At press time, the XRP cryptocurrency is down to $0.4732, a 7% drop in the past week. The overall cryptocurrency market had a down week last week, and even the news of triumph over the SEC couldn’t protect Ripple XRP from joining the slide.
On June 13, a California court sided with Ripple Labs in its ongoing dispute with the SEC. The judge ruled that the company had not violated securities laws, thus dismissing the main allegations of the SEC. The back-and-forth legal battle between the two parties started in 2020 and looks like it’s finally nearing its conclusion.
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Why Isn’t The Latest Win For Ripple Labs Boosting XRP
In previous positive updates for Ripple Labs around the lawsuit, XRP would receive a slight boost in performance thanks to bullish investors. However, this time around that isn’t the case. As there is growing unrest and uncertainty in the broader crypto market, the bulls aren’t latching onto any particular asset. Even the leading cryptocurrency by market cap, Bitcoin, is on a bearish trend, trading down in the lower $63,000 threshold Monday.
Furthermore, as Bitcoin is king in the cryptocurrency realm, other assets tend to follow its trends, be they positive or negative. As BTC is down, the entire market for the most part is down, including XRP. The hype around Spot Bitcoin ETFs has finally cooled down after a strong start to 2024. Thus, the hype train around cryptocurrency in 2024 may be slowing down.
Once the Ripple vs SEC lawsuit is fully concluded, perhaps then XRP will be rescued from its current plunge. However, unless Ethereum ETFs bring a strong start and open the door for XRP ETFs, it could be a long summer for Ripple Labs’ XRP token.