XRP has surged past the $1 mark, reaching a three-year high, amidst the legal troubles facing the U.S. Securities and Exchange Commission (SEC). This price change is significantly aligned with the bullish momentum seen in the options market.

• XRP's price has nearly doubled this week to above $1.
• The SEC's ongoing legal issues could impact its appeal regarding the Ripple ruling, which concluded that XRP sales on public exchanges were not classified as securities.

The surge in XRP comes as challenges against SEC regulation intensify. Recently, a coalition of state attorneys general and the DeFi Education Fund initiated a lawsuit accusing the SEC of unconstitutional overreach in its enforcement actions against digital asset exchanges. They claim digital assets should be treated as mere assets, not as investment contracts, thus asserting states' rights over the industry.

Expectations for a more favorable regulatory environment under the incoming Trump administration have also buoyed market sentiment. Industry experts speculate potential shifts in regulation that could favor cryptocurrencies and companies like Ripple.

Overall, XRP’s recent rise suggests a marked shift in investor confidence and outlook for cryptocurrencies amid changing regulatory landscapes.