XRP is no longer burdened by its previous legal problems. Despite this, its price continues to face resistance. It went down to $2.80 for a short while but came back slightly. Investors feel that XRP is still struggling even though the Ripple lawsuit has been put to rest.
Ripple’s case with the SEC has been XRP’s largest shadow for years. The simultaneous dismissal of the case was just approved by the Second Circuit Court, finally putting a close to the book. However, XRP’s pricing action is still sluggish, detached from its legal respite.
Today, August 26, XRP is trading at $2.90, below the $3 level again. It has a market cap of $172.93 billion and $7.02 billion volume. This slide is mostly due to overall crypto corrections and not the conclusion of the lawsuit.
SEC ETF delay weighs on price
Another deterrent to XRP’s momentum is the slowdown in ETF approvals. The SEC delayed various decisions, including the WisdomTree XRP ETF, to October. Regulators said they require more time to process the requests, dampening investor enthusiasm for near-term approval.
The statement was followed by a pullback from XRP’s brief rally. Crypto ETFs are still a major institutional demand catalyst. Hence, the SEC’s delayed timelines are taken negatively by the market members who had anticipated swifter moves from the regulator. This has kept XRP subject to sustained selling pressures.
XRP faces hurdles near $3 zone
Technically, XRP encounters obstacles near major resistance areas. It dipped below the $3.05 Fibonacci support and below the important $3 psychological level. Traders are now putting XRP’s bullish setup to the test, though analysts point out that support around $2.75 may still hold tight.
Future events, including Ripple’s potential IPO and XRP credit card launches, may underpin longer-term support. For now, recent action has been below estimates following the settling of the lawsuit and was substantially below hopes of a more aggressive breakout following the victory in court.
XRP’s derivatives segment has a cooling tendency too. Futures volume went down 12.45% to $10.42 billion. Open interest went down 4.62% to $7.78 billion. Options volume went down sharply by 32.73% to $883.73 million, and open interest bettered slightly by 9.60% to $765.14K.
Remarkably, the OI Weighted ratio is unchanged at 0.0038%, which implies regulated leverage usage and balanced positions. Even though market activity has dampened, diminished risks of aggressive liquidations may stabilize XRP’s price and support subsequent bullish developments in the near future.
