Ripple makes progress, but lawsuit keeps XRP under pressure
Ripple has made impressive strides in recent months, but XRP's price is still lagging.
Although Ripple has made impressive strides in recent months, XRP's price is still lagging. In just three days, the coin shed a few percent of its value, quite noticeable given the positive developments surrounding the network. What's going on?
Technological breakthrough: XRPL gains Ethereum support
Ripple recently announced that the launch of the XRPL EVM sidechain will take place later this quarter. This expansion will allow Ethereum smart contracts to run on the XRP Ledger. That means a substantial improvement in the network's usability and flexibility.
Additionally, confidence from enterprises is growing. More and more players are holding XRP reserves, signaling increasing adoption. Circle, the issuer of the popular stablecoin USDC, also announced that their token will soon be available on the XRPL network.
Yet there is no clear price rally in sight. Despite all these positive signals, XRP continues to decline.
Legal uncertainty looms as a dark cloud
The main reason for the negative price sentiment appears to be the lengthy lawsuit between Ripple and the U.S. regulator, the SEC. Monday marks the deadline for both sides to reach a settlement. Last month, a first proposal was rejected by the judge, followed by an amended version, about which experts remain split.
This legal uncertainty casts a shadow over all the progress Ripple is making. Investors seem hesitant as long as the legal conflict continues.
Exciting days ahead
The coming period will be crucial for Ripple and XRP. A definitive ruling may not come at the start of next week, but analysts say there will be more clarity on how the case will unfold going forward.
As long as the legal chapter isn’t closed, it remains hard for XRP to really capitalize on the strong fundamentals Ripple is building.
