XRP News Today: Coinbase Case Revival Adds Pressure on Ripple Outlook; BTC Hovers

SEC vs. Ripple: Coinbase News Pressures XRP

On Friday, April 18, the US State of Oregon reignited concerns in the crypto space by reviving the SEC’s case against Coinbase (COIN). The development unsettled investors who had been hoping for an end to regulatory pressure on the industry.

Coinbase Chief Legal Officer Paul Grewal stated:

“Today the Oregon Attorney General is resurrecting the dead by bringing a copycat case of SEC’s enforcement action against Coinbase. As a reminder, the SEC dismissed that case with prejudice. This type of political jockeying is an embarrassing waste of Oregon taxpayer dollars. In case you think I’m jumping to conclusions, the AG’s office made it clear to us that they are literally picking up where the Gary Gensler SEC left off. Seriously.”

The Oregon Attorney General, Dan Rayfield, a Democrat, reignited the debate over the partisan divide on crypto regulation.

The SEC dismissed its lawsuit against Coinbase on February 21, 2024, after filing charges against the crypto exchange in June 2023, alleging Coinbase operated as an unregistered securities exchange, broker, and clearing house. Additionally, the SEC claimed Coinbase offered and sold unregistered securities in connection with its staking-as-a-service program.

Friday’s news suggests the SEC vs. Ripple case could end in New York but reappear in a Democratic-led state, potentially prolonging legal uncertainty until the mid-term elections.

Pro-crypto lawyer Bill Morgan remarked:

“The Oregon AG obviously doesn’t like Trump and policies including his crypto policies and recent SEC actions.”

XRP Outlook: Legal Headwinds and ETF Hopes

XRP slipped 0.23% on Friday, April 18, adding to Thursday’s 0.86% loss, closing at $2.0604. It tracked the broader crypto market, which fell 0.29% to a total crypto market cap of $2.63 trillion.

While extending its losing streak to four sessions, XRP avoided a drop below $2 on optimism surrounding the SEC’s potential appeal withdrawal.

In the near term, investors should track several key XRP price drivers:

• Legal developments in the SEC vs. Ripple case remain critical; a settlement could propel XRP toward its all-time high of $3.5505.
• Meanwhile, progress on a spot ETF approval could draw institutional capital, while delays may dampen sentiment.
• Macroeconomic factors also remain relevant, with hawkish Fed signals and geopolitical friction potentially dragging XRP to $1.70, while easing conditions may support a move toward $3.00.

See our full XRP forecast here.

Bitcoin Dips Amid Trade Tensions and Economic Uncertainty

XRP’s pullback mirrored bitcoin’s (BTC) modest losses as escalating US-China trade tensions continued impacting risk assets. The Nasdaq Composite Index fell 2.62% in the week ending April 18.

However, Friday’s losses were modest. Investors awaited signs of potential US and China negotiations that could end the tit-for-tat trade war. President Trump, speaking on April 17, signaled optimism over reaching a favorable deal with China and showed reluctance to introduce further tariff hikes.

US BTC ETF End Weekly Outflow Streak on Trade Optimism

Optimism about a potential de-escalation in the US-China trade war and a softer US tariff stance on key trading partners bolstered demand for US BTC-spot ETFs. According to Farside Investors, the US BTC-spot ETF market reported net inflows of $13.7 million for the week ending April 18, snapping a two-week outflow streak. Key flow trends for the week included:

• BlackRock’s (BLK) iShares Bitcoin Trust (IBIT) recorded weekly net inflows of $186.5 million.
• Bitwise Bitcoin ETF (BITB) reported net inflows of $23.8 million.
• However, Fidelity Wise Origin Bitcoin Fund (FBTC) and ARK 21Shares Bitcoin ETF (ARKB) saw net outflows of $123.1 million and $99.8 million, respectively.

IBIT’s performance highlights BlackRock’s growing dominance in the crypto ETF space. Since launching on January 11, 2024, IBIT has brought $39,754 million in net inflows versus the BTC-spot ETF market’s total of $35,475 million.

Bloomberg Intelligence Senior ETF Analyst Eric Balchunas commented on spot ETFs and market demand, stating:

“Bitcoin ETFs have eked out positive inflows past month and YTD and $IBIT is +2.4b YTD (Top 1%). Impressive and IMO helps explain why btc’s price has been relatively stable: bc it’s owners are more stable! For the past 15mo the ETFs and Saylor have been buying up all ‘dumps’ from the tourists, FTX refugees, GBTC discounters, legal unlocks, govt confiscations and Lord knows who else.”

On the supply side, Balchunas added:

“Saylor obv isn’t selling and ETF investors (as I’ve been saying bf it was cool) are much stronger hands than most think. This *should* increase stability and lower volatility and correlation long term.”

BTC Price Outlook: Key Drivers

On April 18, BTC fell 0.52%, partially reversing Thursday’s 1.11% gain to close at $84,519. Despite the pullback, BTC avoided sub-$83,000 for a sixth straight session.

Near-term price trends will likely hinge on the following:

• Bearish Scenario: Tariff hikes, hawkish Fed chatter, ETF outflows, and stalled legislation could push BTC toward $75,000.
• Bullish Scenario: Lower tariffs, dovish Fed policy stance, bipartisan backing for the Bitcoin Act, and spot-ETF inflows may lift BTC toward $90,000.

What to Watch

Investors should monitor key developments, including Ripple’s legal case, US-China trade policy, central bank signals, economic indicators, and spot ETF flow trends. A resolution in the Ripple case may bolster XRP demand. However, broader crypto market sentiment remains tightly linked to macroeconomic and regulatory conditions.

Explore what analysts believe is needed for cryptos to reach new highs.