Legal Optimism Boosts XRP as Bitcoin Surges – Could XRP Reach $3.00?
Published: May 19, 2025
By Bob Mason
In recent trading sessions, XRP has gained significant traction, closing at $2.4292 on May 18, a rise of 3.18% on the day. This increase comes as investors express renewed optimism regarding the ongoing legal battle involving Ripple Labs and the U.S. Securities and Exchange Commission (SEC). Meanwhile, Bitcoin has also shown impressive results, reaching a four-month high of $106,479 as cryptocurrency markets react to potential legislative changes in the United States.
XRP Gains on Legal Developments
XRP’s rally is closely tied to developments in the SEC vs. Ripple case. Despite a recent court ruling that rejected the SEC’s request for an indicative ruling on settlement terms, investor sentiment has improved. Many are hopeful that Judge Analisa Torres will ultimately rule favorably for Ripple, potentially leading to the conclusion of the legal disputes surrounding XRP.
Stuart Alderoty, Ripple’s Chief Legal Officer, characterized the recent court ruling as a procedural matter, hinting that the company is ready to navigate any challenges. However, not all legal analysts are as optimistic. Pro-crypto lawyer James Murphy expressed concerns, suggesting that it is uncertain whether a federal judge would agree to vacate prior rulings in a settlement context, signaling that the road ahead may still be complex.
Upcoming SEC Meeting Could Clarify Matters
The SEC is scheduled to hold a closed meeting on May 22, where the Ripple case is expected to be a key discussion point. The outcomes of this meeting could provide more clarity on the anticipated second settlement filing by the SEC.
In addition to the legal developments, XRP is also facing deadlines regarding several spot Exchange Traded Fund (ETF) applications. Prominent issuers like Grayscale and WisdomTree will soon present their applications, which, if approved, could further support XRP’s value. The upcoming court process coinciding with the June 17 deadline could be crucial for potential XRP ETF approvals, with current chances of approval reportedly increasing from 80% to 83% in recent days.
Bitcoin’s Strong Performance Amid Legislative Focus
Bitcoin has not been left behind in the bullish momentum. Achieving a 3.14% gain on May 18, investors are keenly awaiting the results of the Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act vote, slated for May 19. While this legislation targets stablecoins, its passage is viewed as a potential stepping stone for broader cryptocurrency market reforms.
In addition to this act, Senator Cynthia Lummis has reintroduced the Bitcoin Act, aiming for the U.S. government to acquire one million BTC over a five-year period. If successful, this measure could significantly limit Bitcoin’s available supply, potentially enhancing its value.
Future Outlook for XRP and Bitcoin
As XRP appears poised to challenge new price thresholds, analysts note that a sustained upward movement could lead it toward the $3.00 mark, particularly if key resistance levels around $2.6553 are surpassed. Bitcoin’s trajectory will largely depend on political and economic developments, with scenarios ranging from bearish to bullish hinging on legislative outcomes and market sentiment.
Investors are advised to maintain close scrutiny on legal developments surrounding Ripple, the outcomes of upcoming SEC meetings, and macroeconomic indicators as these factors will influence the overall cryptocurrency market.
For continued insights and forecasts on XRP and other cryptocurrencies, make sure to follow our updates regularly.
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