- XRP’s value went up by 4% with traders buying options that were anticipating further increases, indicating optimism within the market.
- Ripple CEO Brad Garlinghouse confirmed the SEC is trying to dismiss its appeal in the case, sending confidence among investors soaring.
- Discussions regarding the possibility of a spot ETF by the end of 2025 has further driven enthusiasm for the long-term prospects of the token.
The value of XRP increased 4% to $2.41 on March 21 as option traders became interested in options bets on additional gains.
Most option traders were focused on contracts that would expire if the token is trading above a specific price by March 28.
Deribit data showed that in-the-money calls were the most open, reflecting optimism for the token rise. The movement was on the heels of growing market optimism on a major legal development surrounding Ripple.
Ripple’s Legal Victory and Market Response
Ripple CEO Brad Garlinghouse stated the U.S. Securities and Exchange Commission (SEC) had attempted to dismiss its appeal in the longstanding case against the company. Although this was a massive victory, Garlinghouse clarified the SEC would yet have to vote, leaving a little room for doubt.
Since this suit began in 2020, XRP has been tested, including being delisted from several exchanges. Now that the legal heat is abating, traders are forecasting that XRP will see more price appreciation.
While the overall momentum is positive, there are some market analysts who are cautious. XRP enjoys good support at $2.2653, and a fall below this price level might mean a possible change in trend. Technical indicators continue to indicate a possibility of additional gains, however.
The reaction in the market has been diverse, with some traders remaining hopeful while others are waiting for the first signs of a reversal.
Investor Outlook and Growth Potential
Coinglass statistics show that most derivatives traders are long on XRP, a bullish expectation. Funding rates, though, have turned red, which in some cases may mean bearish activity on the horizon. Such a conflicting reading suggests that even though optimism is high, there are dangers lurking in the market.
In another development, Garlinghouse hinted at the possibility of an XRP exchange-traded fund (ETF) in the future. In an interview with Bloomberg, he stated that an XRP spot ETF could be approved by late 2025. While this is uncertain, the possibility of an ETF has initiated discussion of XRP’s long-term prospects, further initiating interest in the token.
