This development occurs against the backdrop of rising U.S.-China trade tensions that have caused shadows on broader market sentiment and even impacted Bitcoin ETF flows.
The U.S. Court of Appeals approved a joint motion to appeal in the SEC v. Appeal.
The key ruling revealed by U.S. Attorney James Filan effectively blocked Ripple’s April 16 deadline to submit a summary of the responses about the sale of the XRP program. As pro-Cretto lawyer Fred Rispoli points out, the timing is a razor – highlighting the high bets involved.
This legal maneuver has shifted the immediate focus to the final judgment of Analisa Torres. Ripple Chief Legal Officer Stuart Alderoty’s latest disclosure in March 2025 hints about a close resolution.
The SEC reportedly agreed to waive the appeal without conditions, while the ripple effect goes back and forth its cross-appeal. The proposed solution involves a $75 million ripple effect in the initial $125 million fine, with the SEC abandoning a standard ban on agency XRP sales. The latter point is particularly important because lifting the ban can pave the way for institutional adoption to increase XRP in the U.S. market. The expectation of the next step is buzzing now by legal experts. Bill Morgan is a key voice in the crypto law field and expects Judge Torres to seek to reduce fines, crucially the banned vacation.
Fred Rispoli responded to this view, suggesting that the next document in the District Court would be intended to modify Judge Torres’ order to reflect the agreement.
The prospect of final judgment has caused ripples of excitement in the XRP community, mainly due to its potential to clear the road to XRP SPOT ETFs.
Many issuers, including industry giants such as Bitwise, Grayscale and Franklin Templeton, have thrown their hats into rings and submitted applications for such ETFs.
Amicus Curiae attorney John E. Deaton offers a concise and optimistic outlook, saying: “The person who sues gets approval first!”
Despite positive legal developments, XRP fell slightly by 0.03% on Wednesday, closing at $2.0831, underperformed, with the wider cryptocurrency market growing by 0.31%.
Investors are keenly aware that, despite the legal landscape being cleared, the actual recognition and subsequent impact of the XRP SPOT ETF remain the main drivers of asset price trajectories.
Successful solutions can drive XRP’s all-time high price of 3.5505, and delays in ETF approvals may dampen that enthusiasm.
Interestingly, Bitcoin showed resilience, even as trade tensions between the United States and China exacerbated traditional markets, it received a 0.39% closing price of $84,032.
The U.S. government announced major tariffs on certain Chinese imports and retaliation measures against China, causing the Nasdaq Composite to fall by more than 3%.
However, these macroeconomic headwinds seem to have an institutional appetite for ETFs based on US Bitcoin.
Data from Farside Investors shows that large net outflows of key ETFs, including Fidelity’s FBTC and ARK 21Shares’ ARKB, totaled over $200 million when excluding Blackrock’s IBIT.
This suggests that while Bitcoin remains above the critical $80,000 level, wider economic uncertainty affects institutional investment flows.
Looking ahead, the cryptocurrency market finds itself at an interesting crossroads. While Ripple’s legal advances provide a potential beacon for XRP, wider markets remain vulnerable to macroeconomic forces, geopolitical tensions and regulatory developments.
Investors will closely monitor the progress of the SEC and Ripple cases, the progress of the XRP-SPOT ETF application, the ongoing U.S.-China trade war and any signals from the Federal Reserve regarding monetary policy.
The interaction of these factors will ultimately determine the short-term and medium-term direction of XRP and the broader cryptocurrency ecosystem.
Expectations around potential XRP ETFs are in stark contrast to cautious sentiment surrounding Bitcoin ETFs, amid growing global economic anxiety.
