XRP Dips 5% as Ripple-SEC Settlement Triggers Profit-Taking, But Key Support Holds
XRP retreated 5% on August 9, cooling off after a strong 13% surge that followed the final resolution of Ripple Labs’ years-long legal battle with the U.S. Securities and Exchange Commission (SEC).
Legal Milestone Reached
The drop comes just days after Ripple and the SEC jointly filed to dismiss their respective appeals, effectively ending a five-year legal standoff. The U.S. Second Circuit Court of Appeals confirmed the dismissal, with both parties agreeing to cover their own legal expenses.
“Following the Commission’s vote today, the SEC and Ripple formally filed directly with the Second Circuit to dismiss their appeals,” said Stuart Alderoty, Ripple’s chief legal officer, in a post on X.
The long-awaited regulatory clarity offered a brief tailwind for XRP, but momentum faded as short-term traders moved to secure gains.
Price Action & Technical Outlook
XRP declined from $3.34 to $3.20 during a high-volume selloff between 14:00–15:00 UTC on August 8, with 209.67 million tokens traded — the session’s highest hourly volume. Buyers re-entered at the $3.20 level, lifting the token back to $3.33 by 19:00.
The session’s price range covered $0.17, reflecting 5.24% intraday volatility. Despite the pullback, XRP appears to have established a firm support base.
Key Technical Levels:
- Support: $3.20 remains a critical level, backed by strong buyer interest
- Resistance: $3.31–$3.33 zone caps current upside
- Volume Spike: A sharp increase to 1.86 million tokens at 01:52 UTC suggests strategic accumulation
- Pattern Formation: A bull flag structure is forming above $3.28, pointing to possible continuation if resistance breaks
Broader Context
While XRP’s 24-hour decline outpaced the broader market, it remains well-positioned in the wake of the regulatory breakthrough. Analysts say the legal clarity may unlock new pathways for institutional involvement and product integration.
Should XRP maintain support above $3.20 and break through the $3.33 resistance level, the token could resume its upward trajectory, driven by improved sentiment and renewed market interest.
