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CEO Brad Garlington’s announcement that the SEC is dropping its lawsuit against Ripple sent XRP higher, but traders on Stocktwits are debating the implications as the agency remains silent.
Retail investors on Stocktwits are overwhelmingly bullish on Ripple’s native token (XRP) after CEO Brand Garlington announced that the U.S. Securities and Exchange Commission (SEC) has decided to drop its lawsuit against the company.
Ripple’s native token XRP (XRP) has gained nearly 7% over the past week after Garlington’s announcement.
The survey, which garnered over 2,500 votes, showed that 71% of respondents believe “mass adoption is coming,” while 16% expect a short-term rally with long-term uncertainty.
Only 13% remain skeptical about Ripple’s future, underscoring a strong shift in sentiment toward the digital asset.
However, the SEC has yet to confirm that it will drop its appeal.
The SEC filed a lawsuit against Ripple Labs in December 2020, alleging that the company conducted an unregistered securities offering by selling XRP tokens. The lawsuit claimed Ripple generated approximately $1.3 billion through these sales without proper registration.
In July 2023, U.S. District Judge Analisa Torres ruled that while XRP sales to institutional investors violated securities laws, sales on public exchanges did not.
Last week, Garlinghouse announced that the SEC had officially dropped its appeal against the court's ruling. This marked the end of a four-year legal battle that Garlinghouse described as a "long-overdue surrender."
He emphasized that this victory paves the way for a pro-crypto future and reiterated that "XRP is not a security."
However, according to Ripple’s spokesperson, it’s not a done deal. The SEC’s decision is “subject to Commission vote and approval” and may take “several weeks” for the case to be officially withdrawn. “That timeline is completely in the SEC's control,” they said.
When the SEC dropped its case against Coinbase, it promptly issued a public statement. However, in Ripple's case, the agency has remained silent, raising speculation about internal delays or strategic reasons behind the lack of an official announcement.
On Stocktwits, retail sentiment around XRP’s token dipped lower within ‘neutral’ territory.
One user was cautiously optimistic, stating that while XRP’s price may not reach $10 in 2025, it was unlikely to fall below $2 again, as seen earlier in March.
Despite the recent rally, XRP remains down 5.5% for the month. However, the token has surged 284% over the past 12 months.
For updates and corrections, email newsroom[at]stocktwits[dot]com.<
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