In recent weeks, XRP has staged a comeback that stands out in crypto history. Over the past month, it has surged more than 12%, reclaiming multiple key price levels and reigniting investor optimism โ all thanks to one major event: the official conclusion of the years-long U.S. SEC vs. Ripple lawsuit.
On August 7, 2025, when the case was officially closed, XRP eliminated one of its biggest legal risks. This news instantly triggered a bullish wave, pushing the price to a recent peak of $3.22. However, the market is now showing a slight slowdown โ at the time of writing, XRP is trading at $3.17, down 1.2% in the last 24 hours.
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๐ฅ The Source of Bullish Momentum
While the case closure was undeniably a massive catalyst, on-chain data tells a deeper story โ this rally appears to be driven largely by existing investors moving capital, rather than a flood of new retail money.
According to CryptoOnchain from CryptoQuant, daily active addresses on the XRP Ledger dropped by more than 10% after the lawsuit, falling to 24,701. This signals that the price surge is fueled more by internal capital rotation than by a wave of fresh participants.
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๐ Exchange Flow Data: A Mixed Picture
Around the lawsuit announcement, XRP deposits to Binance and Upbit spiked โ a typical sign of profit-taking or short-term trading.
However, exchange withdrawals also increased at the same time โ suggesting new long-term holders are accumulating positions.
In short, the market currently shows two parallel trends:
๐ Short-term traders locking in profits.
๐ก Long-term believers building positions for the future.
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๐ The Rising Role of the Asian Market
Exchange reserve trends add another layer to the story:
Binance: XRP reserves are climbing again, which could indicate potential selling pressure ahead.
Upbit: Reserves continue to rise steadily, reflecting the growing influence of the Asian market in XRP trading.
OKX: Reserves have dropped sharply to near zero as heavy withdrawals take place.
According to CryptoOnchain, rising prices alongside falling active user counts suggest that a small group of large traders is dominating the market. If exchange reserves grow too quickly, the risk of a short-term correction increases โ especially if profit-taking accelerates.
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๐ฎ Outlook
The conclusion of the SEC lawsuit is a huge psychological and regulatory win for XRP. But for the rally to remain sustainable, the market needs to see:
1. Fresh retail investor inflows.
2. Controlled short-term selling pressure.
3. Steady long-term holding sentiment.
If these conditions are met, XRPโs next bullish leg could be much stronger. Otherwise, a deeper correction phase could unfold.