XRP Soars Amid Tariff Changes and Uncertainty Over SEC Appeal
Date: April 10, 2025
By: Bob Mason
Updated: 01:51 GMT+00:00
Key Developments Fueling XRP Price Surge
In a remarkable shift on April 9, the value of XRP surged by 14.32%, hitting a session high of $2.0893, spurred by President Donald Trump’s recent announcements on tariff policies. This significant price movement occurred against the backdrop of the ongoing legal battle between the U.S. Securities and Exchange Commission (SEC) and Ripple Labs concerning XRP’s regulatory status. The timely news of tariff changes briefly overshadowed the legal complexities involving Ripple and the SEC.
Trump announced an increase in tariffs on China to 125%, a rise from 104%, effective immediately, while reducing reciprocal tariffs to a uniform 10% for other nations. This move may grant countries that do not impose retaliatory tariffs a 90-day negotiation period to discuss trade issues, which has increased trading activity across various sectors, including the cryptocurrency market.
Market Reactions: Ripple’s Legal Issues and XRP’s Future
Despite the positive reaction to the tariff news, uncertainty looms regarding the SEC’s intentions. On April 10, the SEC is scheduled for a crucial closed meeting centered around whether to withdraw its appeal against the previous ruling on the Programmatic Sales of XRP. Speculation suggests that a withdrawal could potentially lead to a significant uptick in XRP’s price, possibly targeting its all-time high of $3.5505 as traders eagerly await clarity from the SEC.
Participants in the crypto market remain focused on several critical factors influencing XRP’s trajectory:
- SEC Court Filings: Any news regarding the SEC’s appeal status or settlement terms could bolster XRP’s market performance significantly.
- XRP-Spot ETF Approval: The anticipation surrounding the approval of an XRP-spot Exchange Traded Fund (ETF) could enhance institutional demand, thereby supporting price momentum.
- Macroeconomic Risks: Upcoming economic data related to tariffs, inflation, and Federal Reserve policies will likely influence XRP a great deal in the near term. A favorable economic outlook could pave the way for a price increase, while adverse conditions could potentially pull XRP down to $1.70. ## Bitcoin and Broader Market Performance
XRP’s impressive rebound accompanied a broader recovery in the cryptocurrency market, with Bitcoin (BTC) also experiencing a notable uptick. BTC rose by 8.27%, closing at $82,594, although it remains substantially below the peak of $105,993 reached earlier in the year before concerns about impending tariffs weighed heavily on market sentiment.
Similar to XRP, Bitcoin’s movements have been affected by Trump’s tariff changes, which could lead to higher import costs and fuel inflationary pressures. Many analysts are cautioning traders about the potential for a shifting market as elevated market risk persists. A recent statement from Santiment warned that while positive sentiments may temporarily spur a rally, the structural issues behind the tariffs may yet resurface.
ETF Movements and Future Considerations
The impact of Trump’s tariff announcement also reached the U.S. Bitcoin-spot ETF market, with mixed flows reported. For example, Grayscale Bitcoin Trust (GBTC) saw net outflows of $33.8 million, while Bitwise Bitcoin ETF experienced inflows of $6.7 million. This fluctuation illustrates a cautious optimism among institutional investors amid tariff uncertainties.
Looking ahead, analysts suggest that the upcoming U.S. Consumer Price Index (CPI) release and subsequent Federal Reserve guidance will be crucial in shaping market sentiment. The SEC’s decisions regarding Ripple, along with further developments in trade relations and the Bitcoin Act, will also be pivotal for determining the near-term direction of the two cryptocurrencies.
As XRP and Bitcoin navigate these economic and legal landscapes, the decisions made by investors in the coming days will be instrumental in shaping the future of the cryptocurrency market.
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