Why Is XRP Dropping? Ripple vs SEC or Trump’s Tariff Policies?

Table Of Contents

XRP Price Dips, But a Ripple ETF Sparks New Hope
What’s Causing XRP’s Price to Fall?
Is There Still Hope for XRP?
XRP Price Outlook: What Traders Should Watch
Final Thoughts: A Dip or a Setup?

XRP Price Dips, But a Ripple ETF Sparks New Hope

Ripple’s XRP is once again under the spotlight—and not for the best reasons. On April 9, 2025, XRP saw a sharp dip of 3.62%, bringing its price down to $1.80, according to CoinMarketCap. Its market cap now stands at $105.22 billion, with $7.28 billion in 24-hour trading volume.

📉 XRP’s Rough Patch: A Closer Look

7-Day Performance: -13.26%
30-Day Performance: -17.18%
Price Range (Last 30 Days): $2.55 – $1.65

For nearly a month, XRP has been moving sideways, indicating indecision among traders. But what’s dragging the coin down?

What’s Causing XRP’s Price to Fall?

🇺🇸 Trump’s Tariff War Sends Shockwaves

The crypto market isn’t isolated from macroeconomic forces. With President Trump recently hiking tariffs on Chinese imports to a staggering 104%, and China retaliating with 34% tariffs plus a ban on rare earth exports, global markets took a massive hit.

S&P 500: -20%
Nasdaq: Entered bear territory
Hang Seng Tech Index: Down 27%
Bitcoin: Fell to $77,472.52 (-2.51%)
Ethereum: Dropped to $1,469.52 (-6.33%)

XRP, like other major tokens, felt the pressure from this market panic.

⚖️ SEC vs Ripple: Legal Drama Continues

Adding to the chaos, the Ripple-SEC case has taken another turn. The SEC denied an emergency motion filed by Justin Keener, who aimed to support Ripple by submitting new evidence. However, the court ruled it had no jurisdiction while the case is under appeal.

The SEC also pointed out that Ripple’s legal team is fully capable of handling the case, and suggested Keener could share his documents with them privately.

Is There Still Hope for XRP?

🔥 Futures Market Stays Active

Despite the dip, trader interest hasn’t faded. As per analyst Ali Martinez, XRP’s futures trading volume surged to $21.62 billion between March 6 and April 7—even as its price dropped from $2.55 to $1.90. This signals that momentum could still swing upward.

📈 First-Ever Leveraged XRP ETF Goes Live

In a big win for XRP bulls, Teucrium Investment Advisors launched the Teucrium 2x Long Daily XRP ETF (XXRP)on NYSE Arca on April 8. This leveraged ETF allows traders to bet big on XRP’s potential, even before a standard spot ETF gets approval. It comes with a 1.85% management fee.

🔮 ETF Approval Odds on the Rise

According to Polymarket, the chance of a standard XRP ETF being approved by 2025 has climbed from 73% to 77%between April 2 and April 9. This uptick reflects growing confidence in XRP’s long-term prospects.

XRP Price Outlook: What Traders Should Watch

Between April 6 and 9, XRP bounced between $1.60 and $2.00. On April 7, a steep drop took it from $1.98 to $1.63, followed by a mild recovery near $2.00, before slipping again to $1.70. As of now, it’s hovering around $1.80.

Resistance Level: $1.95
Support Level: $1.63

If XRP breaks through $1.95, we could see it rally towards $2.05. But if it drops below $1.63, the next stop could be $1.55.

🚀 Long-Term Prediction: $12.50 by 2028?

According to Standard Chartered Bank, XRP might climb as high as $12.50 by the end of 2028, representing a 500% increase from current levels.

Final Thoughts: A Dip or a Setup?

XRP may be facing serious headwinds—geopolitical^q uncertainty, global economic shocks, and a still-unresolved SEC lawsuit. But at the same time, indicators of strength remain:

Trading volume is rising
Institutional interest is heating up
A leveraged ETF is already live
ETF approval odds are climbing

For long-term holders and investors, this could be a shakeout before the next major move.