XRP price traded near $2.46 on May 16, holding steady after a choppy week that saw Bitcoin flirt with $104,000 before slipping back. Ethereum attempted to hold the $2,600 level, while most altcoins hovered around key support zones amid waning bullish momentum. XRP has shown relative resilience, staying above the $2.40 handle even as capital flows shifted toward memecoins and high-beta tokens.
The broader crypto market has responded positively to the recent U.S. CPI report, which showed inflation cooling faster than expected. Core inflation fell to 3.6% year-on-year, sparking renewed risk appetite across equities and digital assets. The 10-year Treasury yield dipped below 4.3%, and Fed funds futures now reflect growing confidence in a rate cut by September. This macro backdrop has provided a tailwind for crypto prices — though XRP’s rally appears more structural than reactive.
Open interest in XRP perpetuals has risen modestly, suggesting renewed positioning by both retail and institutional traders. Spot volumes have also remained elevated, indicating healthy market participation. Despite the market’s attention shifting elsewhere, XRP continues to hold its ground, showing no signs of speculative excess.
Meanwhile, Ripple’s legal battle with the SEC entered its final phase, with a recent ruling reducing the proposed penalty. The update comes just as attention shifts toward XRP’s midterm structure and whether it can flip its BTC pair decisively.
Judge Rejects Ripple–SEC Settlement Motion, Case Drags On
Judge Analisa Torres denied a joint motion by Ripple and the SEC on May 15, halting a proposed $50 million settlement deal. The motion, filed under Rule 62.1, sought an indicative ruling that would have reduced Ripple’s $125 million penalty and lifted an injunction on certain XRP sales.
Judge Torres rejected it outright, calling it “procedurally improper.” Since the case is under appeal in the Second Circuit, her court no longer holds jurisdiction to issue substantive rulings. More importantly, she stated that even if the court had regained jurisdiction, she would still deny the motion for failing to meet the Rule 60 standard.
Rule 60 requires parties to show exceptional circumstances to modify a final judgment. Neither the SEC nor Ripple addressed this. They did not explain why lifting a permanent injunction or cutting the penalty served the public interest. Torres cited the SEC v. Citigroup case, reinforcing the court’s duty to protect integrity in enforcement settlements, not just rubber-stamp them.
Ripple and the SEC now intend to refile under Rule 60. Ripple CLO Stuart Alderoty confirmed the plan and reiterated that the rejection does not undo previous wins. The final judgment was issued in Aug. 2024, giving them until Aug. 2025 to act, but both parties are expected to move sooner.
XRP community members reacted with a mix of irritation and fatigue. Many criticized Ripple’s legal team for filing under the wrong rule. Others, like legal commentators James Filan and Fred Rispoli, pointed to the steep procedural hill ahead. Despite the noise, the community’s core support remains, though frustration is growing.
XRP Price Fizzles After Breakout, Reclaims Wedge Trendline
The XRP USD pair broke out of a multi-month falling wedge pattern earlier in May but failed to hold the post-breakout momentum. The structure extended from the Dec. 2023 high to the April 2025 lower highs. Falling wedges generally indicate bullish reversals, forming as price consolidates between two downward-sloping trendlines. The breakout confirmed when XRP closed above the resistance trendline near mid-May.
However, the rally faded soon after, with the May 15 Ripple SEC settlement court ruling forcing XRP prices to plunge over 7%. XRP price failed to sustain above the Fibonacci 0.786 level and is now testing the former resistance line of the wedge as a support level. A successful retest here would keep the bullish structure intact. A breakdown, however, would risk invalidating the breakout and bring lower Fib retracement levels into play.
XRP has immediate resistance from the 0.618 Fibonacci level near $2.52. Flipping the immediate resistance would help the Ripple token price target the resistance near the 0.786 level at $2.7. The final resistance is the projected price target, near $3.81, derived from the wedge pattern. This is calculated by taking the maximum height of the wedge and projecting that distance upward from the breakout point.
On the downside, XRP’s first key support rests at the 0.382 Fib level, near $2.31. Below that, the 0.236 retracement offers additional footing around the $2.17 price level. The wedge’s lower boundary remains the last major support in case of a deeper pullback.
RSI has cooled from recent highs and now hovers near neutral. The retest zone will likely determine XRP’s mid-term direction. Bulls must hold the line.
