The SEC officially confirms the withdrawal of the appeal, bringing the Ripple case to a conclusion! The regulatory framework becomes the focus, and the progress of the XRP Spot ETF is being followed.

The U.S. Securities and Exchange Commission (SEC) has officially announced the abandonment of its appeal against the ruling in the Ripple case, marking the end of this protracted legal battle. The regulatory body has clearly stated that it will turn to formulating clear encryption regulatory rules. At the same time, the SEC has exempted Ripple from the "bad actor" qualification restrictions, clearing obstacles for its business expansion. Market-wise, the price of XRP is constrained by the delayed progress of the Spot ETF, while Bitcoin is hitting historical highs driven by institutional demand and ETF inflows. Future trends will be closely influenced by inflation data, ETF dynamics, and regulatory legislative progress.

SEC officially confirms withdrawal of appeal, regulatory focus shifts to

Hester Peirce, the head of the cryptocurrency working group at the U.S. Securities and Exchange Commission (SEC), clarified the agency's decision to abandon its appeal against the ruling in the XRP case. On August 11 (Monday), Commissioner Peirce officially announced through the SEC's litigation release page:

"Last week, the SEC's case against XRP finally came to a conclusion. This is a welcome development for many reasons, one of which is that the energy once focused on litigation can now be directed towards creating a clear regulatory framework for encryption."

SEC Chairman Paul Atkins commented:

"Commissioner Pierce is right. With the conclusion of this chapter, we now have the opportunity to shift our focus from the courtroom to the policymaking table. Our emphasis should be on building a clear regulatory framework that promotes innovation while protecting investors."

The encryption community responds positively, but the effectiveness of the ban still exists

The cryptocurrency community responded positively to the statements made by Commissioner Pierce and Chair Atkins. XRP Chief Legal Officer Stuart Alderoty stated:

"Thanks to Chairman Atkins for his leadership in paving a clear road map for cryptocurrency in the United States."

It is worth noting that the press release clearly states that the final judgment prohibiting XRP from violating the registration provisions of the Securities Act of 1933 remains in effect. Although the details of the vote on Thursday, August 7, have not been disclosed, Commissioner Caroline Crenshaw may have voted against the motion to dismiss.

SEC exempts "bad actor" restrictions, beneficial for XRP financing and business

After submitting the "Joint Motion to Withdraw" on August 7, the SEC also addressed the issue of disqualification of "Bad Actors." Pro-crypto lawyer Bill Morgan commented:

"Another victory for XRP. The SEC has issued an order exempting the disqualification of bad actors related to XRP due to the permanent injunction. Given that Judge Torres has refused to lift the permanent injunction, this is the next best option. This will help XRP raise capital. XRP is no longer prohibited from conducting exempt securities offerings. This may also assist XRP in achieving broader business objectives, including its application for a national banking charter."

Former SEC attorney Marc Fagel clarified the SEC's position on the injunction and subsequent exemptions:

"The ban prohibits XRP from violating the registration provisions of securities law (the court found that XRP sold through its agency violated the provision). If legal amendments allow for the sale of encryption without registration, then future sales without registration will not be illegal (and thus will not violate the ban)."

Feigl added that the exemption rendered the ban irrelevant, and the situation would be the same if the law were amended.

This move is seen as a complete end to the "war" against encryption by former SEC Chairman Gary Gensler and the Biden administration.

XRP Price Outlook: Spot ETF Becomes Key Catalyst for Breakthrough

XRP continued its downward trend on August 11 (Monday), falling by 1.74% to close at $3.1326. The token underperformed the broader market, which ended a five-day rally with a decline of 0.91%, bringing the total cryptocurrency market cap down to $3.89 trillion. Due to a lack of progress in launching the XRP Spot ETF, XRP has continued to retreat from its high of $3.3826 on August 8.

In the short term, the price outlook for XRP depends on several key catalysts:

• XRP Spot ETF related news
• XRP's progress on the bank license application in the United States
• News related to SWIFT
• Legislative dynamics news

If it breaks through the resistance level of $3.20, it may pave the way to rise towards the August 8 high of $3.3830. If it can consistently hold above $3.3830, it may open the door to test the historical high of $3.6606 set on July 18 (Binance exchange data).

However, if it breaks below the support level of $3.10, bears may target the August 5 low of $2.9184, thus threatening the 50-day Exponential Moving Average (EMA).

Bitcoin falls back after hitting a new all-time high, institutional demand remains strong

As XRP struggles due to uncertainty surrounding the ETF, Bitcoin (BTC) has soared to a historic high of $122,190. The supply-demand balance has shifted in favor of BTC, propelling it to new heights.

Strategy celebrates the fifth anniversary of the Bitcoin strategy, continuing to increase holdings

Strategy (stock code MSTR) announced on August 11, 2020, the adoption of a Bitcoin strategy, revealing that it had invested approximately $250 million to acquire 21,454 BTC as its primary treasury reserve asset. Founder and chairman Michael Saylor described this move as part of a new corporate strategy to protect shareholder value from currency devaluation and inflation risks.

On August 11, Celer celebrates the fifth anniversary of adopting the Bitcoin strategy and announces:

"Strategy company has repurchased 155 BTC, with a return rate of 25.0% on Bitcoin holdings since the beginning of the year; currently holding a total of 628,946 BTC."

Strategy ranks first among publicly traded companies holding Bitcoin, with Marathon Digital (stock code MARA) coming in second with a holding of 50,639 BTC. The increasing adoption of Bitcoin treasury strategies by companies and the demand for BTC spot ETF markets have jointly driven BTC to reach a historic high.

The US BTC Spot ETF market is expected to see four days of capital inflow

The latest increase in Strategy coincided with the U.S. BTC Spot ETF market recording a total net inflow of $253.2 million in the week ending August 8. In the previous week, issuers recorded a total net outflow of $642.9 million.

On August 11 (Monday), the US BTC Spot ETF market may continue the momentum of capital inflow into the fourth trading day. According to Farside Investors data, the key capital flows are as follows:

• Fidelity Wise Origin Bitcoin Fund (FBTC) reports a net inflow of $13 million.
• Grayscale Bitcoin Mini Trust (code to be determined) net inflow of $14.2 million.
• BlackRock iShares Bitcoin Trust (IBIT) fund flow data is pending release, total inflow for the US BTC Spot ETF has reached $39.9 million (excluding IBIT).

US CPI report may trigger volatility in the encryption market

The sustained surge in institutional demand for cryptocurrencies is a key factor driving BTC to historical highs. However, the upcoming US CPI (Consumer Price Index) report could trigger market volatility on August 12 (Tuesday). Economists predict that the annualized inflation rate in the US for July will rise to 2.8% from 2.7% in June, with core inflation expected to reach 3% (up from 2.9% in June).

Higher than expected inflation data may support the Federal Reserve in adopting a less dovish policy stance, thereby putting pressure on risk assets including BTC. On the other hand, milder inflation may boost bets on multiple rate cuts by the Federal Reserve or trigger a new round of gains for BTC.

BTC Price Outlook: Focus on Inflation Data and ETF Fund Flows

BTC dropped 0.29% on August 11 (Monday), closing at $118,699, partially reversing the 2.66% gain from Sunday.

Several key events will affect the recent price outlook:

• US CPI report
• Federal Reserve monetary policy stance
• Progress of Legislation in the U.S. Congress
• BTC Spot ETF capital flow

Potential scenario:

• Bearish Scenario: Legislative obstacles, higher than expected inflation in the U.S., hawkish statements from the Federal Reserve, and outflows from ETFs. This combination of factors could push BTC towards $115,000, and may even touch the 50-day Exponential Moving Average (EMA).
• Bullish Scenario: The U.S. Congress's CLARITY Act is making progress, U.S. inflation is below expectations, the Federal Reserve is signaling a dovish stance, and ETF funds are continuously flowing in. Under these circumstances, BTC may break through the historical high of $122,190.

Key Market Drivers: Boosting or Hindering Breakthrough Trends

Conclusion: In summary, traders should closely monitor the following key events to determine whether XRP and Bitcoin can sustain their rebound and challenge historical highs:

• XRP Spot ETF Updates: Any related news will significantly impact the XRP price.
• Legislative Progress: Especially the developments regarding the CLARITY Act, which are related to the clarification of the regulatory environment.
• US Economic Data: Inflation, employment, and other data directly affect the Federal Reserve's policy expectations.
• Federal Reserve Officials' Remarks: Dovish or hawkish signals will influence market risk appetite.
• ETF Fund Flow: The trend of fund flow is crucial for the supply and demand balance of BTC and is a core driver of short-term prices. Pay close attention to the market reaction after the U.S. CPI report and the subsequent inflow/outflow of funds.