- XRP slid by 3.26% on Wednesday to close the day at $0.52723 amid a strengthening U.S. economy.
- U.S. durable goods orders increased by 2.6% in March, having advanced by 0.7% last February.
- Uncertainty over the potential outcome of the Ripple vs SEC case contributed to XRP’s decline.
XRP slid by 3.26% on Wednesday to close the day at $0.52723 amid a strengthening U.S. economy and growing uncertainty in Ripple’s ongoing litigation. Wednesday’s slump marked an extension in the XRP price drop after the altcoin dipped by 2.21% last Tuesday.
According to a U.S. economic report released on Tuesday, U.S. durable goods orders increased by 2.6% in March, having advanced by 0.7% last February. The report further showed that core durable goods rose by 0.2%, marking an improvement from February’s figure of 0.1%. The improved data signaled a robust U.S. economy, impacting inventors’ outlook regarding a September Fed rate cut.
Apart from XRP, several other cryptocurrencies declined on Wednesday, leading to a 2.97% drop in the overall value of the crypto market. Hence, the crypto market lost over $2.3 billion on Wednesday following the selloff.
Besides the Fed monetary policy’s impact on investor sentiment, the crypto market felt the impact of new developments in the case between Ripple and the U.S. Securities and Exchange Commission (SEC). Increased uncertainty over the potential outcome of the case contributed to XRP’s decline.
Last Tuesday, the fintech firm filed a redacted version of the remedy-related opposition brief. Ripple argued against the SEC’s proposed $2 billion fine and filed a motion to strike, contesting the inclusion of new expert testimony in the SEC opening brief.
Investors perceive that Ripple’s recent action could introduce a new twist to the case, possibly opening new litigation frontiers, thereby elongating the legal battle. However, many crypto users think a convincing rebuttal by the SEC could result in a punitive penalty against Ripple for selling unregistered XRP to institutional investors.
XRP traded for $0.52662 at the time of writing, with the price struggling around multiple supports established in the last week of March, according to data from TradingView.
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