Ripple Labs has recently made a significant move in its ongoing legal battle with the U.S. Securities and Exchange Commission (SEC). The company introduced that it has dropped its cross appeal, a step that signals a potential resolution to a case that has been dragging on for several years. This development follows Judge Analisa Torres’ recent denial of both Ripple and the SEC’s motions for an indicative ruling, marking a turning point in the dispute that has heavily impacted XRP’s market performance and adoption prospects.

Brad Garlinghouse, Ripple’s CEO, took to social media to share the news, expressing optimism about closing this challenging chapter. He emphasized that Ripple is now fully focused on building the “Internet of Value” and moving forward beyond the courtroom battles. The company’s decision to drop its cross appeal is seen as a gesture aimed at encouraging the SEC to reciprocate by dropping its own appeal, which could bring an amicable end to the litigation. This cooperation between Ripple and the SEC could finally put to rest one of the longest-running regulatory disputes in the crypto industry.

The Ripple vs. SEC case has been a major source of uncertainty and volatility for XRP, Ripple’s native token, over the past four years. The SEC initially filed the lawsuit in late 2020, alleging that Ripple’s sale of XRP constituted an unregistered securities offering. This accusation caused a significant backlash, including delistings from major crypto exchanges and a general slowdown in XRP adoption. Despite Ripple’s strong defense and several legal victories that favored the company, the case has lingered, limiting XRP’s potential growth and market confidence.

The recent decision by Ripple to drop its cross appeal is expected to have a positive impact on XRP’s price and market sentiment. Already, following the statement, XRP saw an immediate boost, trading around $2.13 and gaining approximately 1.5% during late North American sessions. With a fully diluted market valuation estimated at around $211 billion and daily trading volumes averaging $2.4 billion, XRP remains one of the largest cryptocurrencies by market capitalization. Resolving the legal uncertainties could pave the way for renewed interest and institutional adoption, driving XRP’s price higher in the medium to long term.

From a technical analysis perspective, XRP has been consolidating over the past six months, trading mostly sideways as investors await clarity on the legal front. The token currently hovers just above the critical support level near $2. Should XRP manage to sustain trading above this level in the coming weeks, it could validate bullish breakout signals, further strengthening investor confidence. Conversely, a consistent failure to hold this support might undermine the midterm optimism, pushing XRP lower.

Beyond price action, the resolution of the SEC case holds broader implications for the crypto ecosystem. The lawsuit has been closely watched by regulators, investors, and projects alike, as it sets precedent for how digital assets are classified and regulated in the United States. A favorable or at least settled outcome for Ripple may encourage regulatory clarity, fostering a more stable environment for innovation and growth in blockchain payments and digital asset markets.

Moreover, Ripple’s proactive approach in seeking an amicable end to the litigation reflects its commitment to regulatory compliance and industry leadership. Rather than prolonging the dispute, the company appears ready to work with regulators to define clearer frameworks, which could benefit not only XRP but the wider crypto industry. This shift could also encourage other projects facing regulatory scrutiny to adopt a more cooperative stance, potentially reducing legal risks and market disruptions.

In summary, Ripple’s decision to drop its cross appeal against the SEC represents a pivotal moment in the legal saga surrounding XRP. With the SEC likely to follow suit soon, the path toward settlement seems clearer than ever. This development is poised to remove significant headwinds for XRP, boosting its price outlook and fostering greater mainstream adoption. For investors and market watchers, the next few weeks will be critical in confirming whether XRP can capitalize on this legal progress and deliver on its long-promised potential as a key player in global blockchain payments and financial innovation.

As Ripple turns its focus back to innovation and building its “Internet of Value,” the crypto community and stakeholders alike will be watching closely to see how this legal resolution reshapes the future of XRP and the broader digital asset landscape.