XRP News Today: Bearish Turn Amid Political Heat and Settlement Hopes; BTC at $94k

XRP Dips Amid Renewed Anti-Crypto Rhetoric

XRP came under selling pressure as investors awaited the SEC’s upcoming closed meeting and a possible vote to withdraw the appeal in the Ripple case.

Ripple Chief Legal Officer remarked on Senator Elizabeth Warren’s latest attack on digital assets, stating:

“Senator Elizabeth Warren’s war on crypto is so all-consuming, she’ll block bipartisan stablecoin legislation designed to protect consumers—just to take a cheap political shot.”

On May 5, Senator Warren targeted the upcoming Stablecoin bill vote, asserting:

“The Trump family stablecoin surged to 7th largest in the world because of a shady crypto deal with the United Arab Emirates—a foreign government that will give them a crazy amount of money. The Senate shouldn’t pass a crypto bill this week to facilitate this kind of corruption.”

XRP remains highly sensitive to anti-crypto rhetoric from Capitol Hill. The prospect of an XRP-spot ETF market hinges on the SEC’s decision to drop its appeal against Judge Torres’ Programmatic Sales of XRP ruling. The SEC and Ripple filed a joint motion to pause the appeal in April, citing the prospect of a settlement.

XRP Outlook: Legal Developments and ETF News in Focus

XRP fell 1.27% on Monday, May 5, extending Sunday’s 1.32% loss to close at $2.1319. The token underperformed the broader crypto market, which gained 0.39%, taking the total crypto market cap to $2.9 trillion.

XRP’s near-term outlook will depend on several factors:

• Appeal and settlement-related updates.
• XRP-spot ETF news.
• Fed policy direction and US-China trade headlines.

Key support lies at $2.10, while a breakout above $2.50 could pave the way to $3.00 and a retest of the all-time high at $3.5505.

See our full XRP forecast here.

While XRP struggled, Bitcoin’s reaction diverged.

Bitcoin Reacts to US Data and Trade News

XRP’s drop failed to influence bitcoin (BTC) demand on Monday, May 5. Stronger-than-expected US economic data dragged BTC to a session low of $93,639.

The ISM Services PMI rose from 50.8 in March to 51.6 in April, beating a consensus of 50.6. As services are a key inflation driver, the sharp rise in the Prices Index to 65.1 (up 4.2 points) may temper hopes for a Fed rate cut in H1 2025. A less dovish Fed rate path may aim to tame tariff-driven inflationary pressures. However, it could raise borrowing costs, impacting risk assets.

The Nasdaq Composite Index ended the Monday session down 0.74%, while gold soared 2.86%, closing at $3,332. Trade developments added to the risk-off sentiment after President Trump announced 100% tariffs on movies produced outside the US.

MicroStrategy Doubles Down on BTC at Sub-$100,000

Despite a potentially less dovish Fed stance, BTC rebounded from early losses. MicroStrategy (MSTR) Chairman Michael Saylor disclosed a 1,895 BTC purchase, stating:

“MSTR has acquired 1,895 BTC for ~$180.3 million at ~$95,167 per bitcoin and has achieved BTC Yield of 14.0% YTD 2025. As of 5/4/2025, we hodl 555,450 $BTC acquired for ~$38.08 billion at ~$68,550 per bitcoin.”

This follows a 15,355 BTC acquisition on April 28. Recent US BTC-spot ETF inflows and MSTR’s double-down tilted the supply-demand balance firmly in BTC’s favor, supporting a return to the $94,000 mark. US BTC-spot ETF issuers reported net inflows of $1,805 million in the week ending May 2 and $2,942 million of net inflows in April.

BTC Price Outlook: Policy and Legislation in Focus

BTC gained 0.41% on Monday, May 5, partially reversing Sunday’s 1.67% slide to close at $94,774.

Near-term price action will depend on trade developments, Fed policy signals, Bitcoin Act news, and ETF flow trends.

Potential price scenarios include:

• Bearish Scenario: Escalation in the US-China trade war, hawkish Fed guidance, US recession concerns, resistance to the Bitcoin Act, and renewed ETF outflows. Bearish sentiment could send BTC below $90,000.
• Bullish Scenario: Easing US-China trade tensions, a dovish Fed stance, strong US data, pro-crypto legislation, and sustained ETF inflows. Bullish sentiment could drive BTC above $100,000.

Legislative developments may play a pivotal role. The Bitcoin Act’s progress on Capitol Hill could be vital for BTC’s supply-demand outlook. Senator Cynthia Lummis reintroduced the Bitcoin Act, proposing the US acquire one million BTC over five years with a 20-year holding period. If passed, the bill could significantly influence BTC’s long-term supply-demand trajectory.

On May 5, President Trump reinforced the US government’s pro-crypto stance, stating:

“I want crypto. Crypto is important because if we don’t do it, China will.”

His comments followed Arizona’s Democratic Governor Katie Hobbs’ veto of a bill that would have allowed the state to invest up to 10% of public funds in digital assets such as BTC.

What to Watch

Traders should monitor legal developments in the Ripple case, ETF market flows, macroeconomic data, and central bank guidance. A favorable SEC resolution could support XRP, while broader crypto sentiment will likely depend on regulatory clarity and global risk trends.

Read analysts’ insights on what could drive cryptocurrencies to new highs.