Welcome to your daily dose of crypto updates! Today, we’re diving into the latest market moves as Bitcoin faces headwinds, while Ethereum and XRP show signs of resilience. With the US Dollar making a comeback, the crypto space is feeling the heat. Let’s break it down in a way that’s easy to digest, whether you’re a seasoned trader or just dipping your toes into digital currencies.
Why Is the US Dollar Impacting Crypto?
You might be wondering why the US Dollar matters so much to crypto. Simply put, when the dollar strengthens, investors often shift to safer assets, pulling money out of riskier bets like Bitcoin. This time, the DXY’s rise comes amid talks of a 10% tariff on countries tied to the BRICS economic bloc, as hinted by President Trump. Add to that concerns over the US national debt—now over $36 trillion—and planned tax cuts that could add another $5 trillion, and you’ve got a recipe for market jitters.
DXY monthly chart
Bitcoin Faces Resistance as US Dollar Strengthens
Bitcoin (BTC) is struggling to push past the $109,000 mark, even after a weekend attempt to breach the psychological $110,000 barrier fell short. As of now, BTC is hovering around $108,813, with market uncertainty weighing on its price. A key factor? The US Dollar Index (DXY), which measures the dollar’s strength against major currencies, has climbed back above 97.00 to 97.41. This rebound, driven by renewed tariff talks and geopolitical tensions, often puts pressure on risk assets like cryptocurrencies.
Looking at the charts, Bitcoin momentum indicators are mixed. The Relative Strength Index (RSI) is slightly dipping, signaling caution, while the Moving Average Convergence Divergence (MACD) still shows a buy signal since late June. If BTC can break above $109,000, we might see a push toward $110,000. However, downside risks linger, with support levels to watch at $106,500 and the 50-day Exponential Moving Average (EMA) at $105,150.
BTC/USDT daily chart
Ethereum Eyes a Breakout
Switching gears to Ethereum (ETH), the second-largest crypto by market cap is showing some grit. Trading at around $2,568, ETH is steadying for a potential jump above $2,600 in the coming days. Technical signals are encouraging: the MACD indicates a buy, and the RSI sits at a neutral 55. Plus, ETH is holding strong above key support levels like the 200-day EMA at $2,473 and the 50-day EMA at $2,455. If the bulls keep pushing, we could see ETH tackle resistance at $2,634 soon.
ETH/USDT daily chart
XRP Maintains a Solid Base
Ripple XRP is also in the spotlight, trading at about $2.27. While its recent uptrend has slowed, XRP remains above crucial moving averages, including the 100-day EMA at $2.22 and the 200-day EMA at $2.11, which suggests a sturdy technical foundation. The RSI at 56 and a MACD buy signal hint at short-term optimism. If momentum builds, XRP could target resistance at $2.33, with further upside potential at $2.47 or even $2.65. On the flip side, those EMA levels should provide a safety net if selling pressure mounts.
XRP/USDT daily chart
What’s Next for Crypto Markets?
The crypto market is at a crossroads. Bitcoin’s inability to break higher could signal more short-term pain, especially with the US Dollar flexing its muscles. Meanwhile, Ethereum and XRP are holding their own, offering a glimmer of hope for altcoin fans. Beyond the charts, broader economic factors—like US tariffs, debt concerns, and geopolitical tensions—will continue to shape sentiment.
For now, keep an eye on Bitcoin’s $109,000 level for signs of strength, Ethereum’s push toward $2,600, and XRP’s battle at $2.33. Whether you’re holding or trading, staying informed is your best bet in this fast-moving space.
