The withdrawal of SEC lawsuits significantly boosts market confidence. For Bitcoin and Ethereum, it removes a major overhang. In the short term, prices may initially rally as investors' risk - aversion decreases. However, a pullback risk exists as profit - taking may occur. Historically, after such regulatory relief, there's often an initial price spike, but then market forces like trading volume and broader economic factors can cause corrections. For example, when regulatory clarity improved in some regions before, Bitcoin saw short - term price jumps followed by 10 - 20% pullbacks within a few weeks in some cases.