XRP Drops 5% After Ripple-SEC Settlement Rally, Finds Support at $3.20
XRP gave back some of its recent gains, sliding 5% in the 24 hours ending August 9 as profit-taking set in following the official conclusion of Ripple’s years-long legal battle with the U.S. Securities and Exchange Commission (SEC).
The pullback came after XRP surged over 13% earlier in the week on news that Ripple and the SEC had jointly dismissed their appeals in the long-running lawsuit. The filing, recognized by the Second Circuit Court of Appeals, effectively brings the high-profile case to a close.
“Following the Commission’s vote today, the SEC and Ripple formally filed directly with the Second Circuit to dismiss their appeals,” said Ripple’s Chief Legal Officer, Stuart Alderoty, in a post on X.
Market Action and Technical Breakdown
XRP fell from $3.34 to $3.20 during a sharp selloff between 14:00 and 15:00 UTC on August 8, driven by a volume spike of 209.67 million tokens—the highest hourly trading activity of the session. Despite the initial drop, bulls stepped in at the $3.20 support level, pushing the price back up to $3.33 by 19:00 UTC.
By the end of the session, XRP was trading near $3.30, having ranged across $0.17 during the day—marking 5.24% intraday volatility.
Key resistance is now forming at $3.31–$3.33, while $3.20 has been confirmed as near-term support. Technical indicators also suggest a possible continuation, with a bull flag pattern emerging above $3.28. A breakout above $3.33 could signal a renewed move higher, while failure to hold support may lead to a retest of lower levels.
On-Chain and Volume Signals
- A surge in trading activity indicates heightened interest, with targeted accumulation hinted by a 1.86 million volume spike at 01:52 UTC.
- Despite the pullback, XRP remains in a defined short-term trading range between $3.20 and $3.33.
Broader Implications
The settlement marks a turning point for Ripple and removes a significant overhang for XRP, which had faced regulatory uncertainty since 2020. While some short-term traders locked in gains, the long-term outlook may improve now that the legal cloud has lifted.
With key levels holding and momentum structures intact, market participants will be watching closely for a decisive move beyond $3.33 to confirm trend continuation.
