XRP Drops 4.57% Amid SEC Penalty and 600M Token Withdrawals, Trading Volume Surges

XRP is currently trading at $2.1041 on Binance, reflecting a 4.57% decline over the past 24 hours from a 24h open of $2.2049. The recent price drop is primarily attributed to heightened regulatory uncertainty following a federal judge’s order for Ripple to pay a $125 million penalty to the SEC, which has increased market caution. Additionally, over 600 million XRP have been withdrawn from exchanges, reducing available supply and possibly contributing to increased volatility. Despite these challenges, trading volume has surged, indicating elevated investor activity. The XRP Ledger 2.5.0 update and Ripple’s announced plans for acquisitions and further upgrades have drawn institutional interest, but have not offset the negative sentiment from regulatory developments. Overall, XRP’s market remains active, with short-term volatility driven by legal news and significant on-chain developments.