Why Isn’t XRP Skyrocketing After Ripple’s SEC Victory? Analysts Explain

The XRP price has failed to shoot up dramatically in the wake of Ripple’s victory against the US Securities and Exchange Commission (SEC). After the SEC officially dropped its appeal against Ripple, many market participants expected a new all-time high. Instead, XRP climbed only by 13% as far as $2.60 before retreating to around $2.40, perplexing investors who had anticipated a sharper rally.

According to Johnny Krypto, co-founder of Merlin, the lack of a massive spike in XRP’s price should not come as a shock. He draws a parallel with historical events in both crypto and mainstream markets, emphasizing that anticipatory trading often leads to muted responses when the official news finally arrives. “When Trump won, there was no logical reason for XRP’s price to jump, but the market was pricing in that the lawsuit would be dropped,” Johnny explains. “That’s why we saw the big pump back then.”

He points out that the run-up from $0.50 to $2.50 last November reflected traders betting on a favorable outcome to Ripple’s legal troubles. Now that the outcome is certain, the market is responding more with a whimper than a bang. “If the SEC had maintained the appeal, XRP’s price would have likely plummeted instead of staying stable,” he adds, noting that the absence of a negative development has effectively kept XRP from falling rather than propelled it to new highs.

Crypto analyst EGRAG CRYPTO (@egragcrypto) stated on X that a wave of anxiety is rippling through the XRP community. He argues that many investors are simply uneasy about the current price stagnation and the market’s slower pace compared to previous cycles: “Right now, almost everyone seems to be panicking. Even with all my positive charts, some people are still worried. My DM is filled with anxious questions like, ‘The SEC dropped the case, and we didn’t MOON. Why? What’s going on?, What Happened’ Just Relax and Breath! The real bull market and development are just getting started.”

He underscores that the gradual movement in prices can test the patience of retail investors, who often expect quicker returns: “Currently, almost all retail players are experiencing ‘pain’ it is called pain of boredom, unlike in 2017, where the market had quick ups and downs, this time the changes are happening slowly. … But this is not how financial markets work. It moves in cycles and waves.”

Pointing to the pending arrival of large institutional participants, EGRAG CRYPTO remains optimistic: “This time around, the market might remain strong for an extended period due to steady prices. New ETFs will be helping to bring in a new breed participants … There will be hundreds and thousands of sales people pushing the XRP ETF to their clients.” His overarching message to XRP holders: remain patient.

Beyond legal resolutions, XRP—like the broader crypto market—remains exposed to global economic forces. The specter of a US-led trade war, spearheaded by President Trump’s tariff policies, looms large. In particular, the 25% tariffs on Canada and Mexico, along with a 10% tariff on China, have fueled concerns about stagflation—a combination of slow economic growth and high inflation.

Supply chain disruptions, higher consumer prices, and diminished economic momentum weigh on risk markets. Investors are increasingly shifting toward “safe haven” assets, including US Treasuries and gold, dampening demand for more volatile cryptocurrencies like XRP.

The Federal Reserve’s monetary policy stance is also influencing sentiment. As of its March 19, 2025 meeting, the Fed chose to maintain interest rates in the 4.25%–4.5% range set in late 2024, pausing the rate-cutting cycle that began in September 2024. Fed Chair Jerome Powell cited persistent inflation above the 2% target, along with heightened recession risks, partly tied to tariff concerns and weaker consumer spending.

Powell’s cautious tone has led to increased market unease, as a recession could further undermine confidence in risk assets. In such an environment, even the end of the XRP lawsuit may not have been enough to spark a sustained rally.

At press time, XRP traded at $2.3995.