The cryptocurrency market finds itself navigating choppy waters, marked by a palpable shift towards a “risk-off” sentiment among investors. While Monday brought a brief respite, Tuesday sees digital assets, including Bitcoin (BTC) and Ethereum (ETH), struggling to regain momentum. This cautious approach is largely fueled by a confluence of macroeconomic factors, including impending US tariffs and a steadfastly hawkish stance from the Federal Reserve.
Bitcoin, the market’s bellwether, is currently hovering just below the 115.000,00 USD mark, struggling to shake off Monday’s low of 113.725,00 USD. This modest recovery highlights the deep-seated apprehension. Ethereum, meanwhile, mirrors this struggle, trading beneath its 3.700,00 USD short-term resistance. In contrast, Ripple’s XRP has managed to hold its ground, maintaining support above 3,00 USD, buoyed by a relatively stable derivatives market.
The prevailing risk-off mood is undeniably influencing institutional investor behavior, evident in the significant outflows from spot Exchange Traded Funds (ETFs). Data from SoSoValue reveals that US-listed Bitcoin spot ETFs witnessed approximately 333,00 million USD in outflows on Monday, extending a three-day retreat. This trend marks the first net outflow from Bitcoin spot ETFs in over two months, signaling a cautious tone as prices consolidate below 120.000,00 USD, as noted by Glassnode.
However, the impact of risk aversion was most pronounced in the Ethereum market. Ethereum spot ETFs recorded their largest single-day outflow in history on Monday, amounting to a staggering 465,00 million USD. This follows a bullish streak maintained since July 3, underscoring the sudden shift in investor confidence. Despite these recent withdrawals, ETH spot ETFs collectively boast a net inflow volume of around 9,00 billion USD, with total net assets averaging 20,50 billion USD. BlackRock’s ETHA remains the dominant player, holding 10,70 billion USD in net assets, followed by Grayscale’s ETHE with 4,10 billion USD and Fidelity’s FETH with 2,44 billion USD.
Looking ahead, the direction of Bitcoin, Ethereum, and XRP prices will largely depend on how investors react to the ongoing macroeconomic uncertainty. The introduction of higher US tariffs this week is a significant concern. Furthermore, upcoming economic data releases, such as the US ISM services PMI on Tuesday and the US Jobless Claims on Thursday, will offer critical insights into the broader economic landscape, potentially shaping market sentiment.
For Bitcoin, a decisive daily close above the 115.000,00 USD resistance could reignite interest from long-position traders, potentially paving the way for a push towards 120.000,00 USD. Conversely, if the buying pressure remains suppressed, evidenced by indicators like the Relative Strength Index (RSI) edging below its midline, Bitcoin could retest lower support levels around the 50-day Exponential Moving Average (EMA) at 113.058,00 USD, or even its previous record high near 112.000,00 USD.
BTC/USDT daily chart
Ethereum faces a similar uphill battle against the risk-off sentiment. Despite struggling below 3.700,00 USD, it rests on strong support levels at the 50-day EMA (3.195,00 USD), the 100-day EMA (2.882,00 USD), and the 200-day EMA (2.725,00 USD). Bulls still eye the 4.000,00 USD milestone, which could bolster the current uptrend.
ETH/USDT daily chart
XRP, on the other hand, has shown resilience, maintaining support at 3,00 USD since Monday. This stability increases the probability of a recovery towards short-term resistance at 3,30 USD, with ambitions to retest its record high of 3,66 USD from July 18. However, a “sell signal” from the Moving Average Convergence Divergence (MACD) indicator and the SuperTrend indicator suggest that bearish pressure persists, emphasizing the need for caution. Should XRP lose the 3,00 USD support, the path of least resistance could lead to the 50-day EMA at 2,80 USD or the 100-day EMA at 2,59 USD.
XRP/USDT daily chart
Disclaimer: This article is provided for informational purposes only and does not constitute financial advice. Investors should always conduct their own thorough research and consult with a qualified financial advisor before making any investment decisions in cryptocurrencies, which are highly volatile and speculative assets.
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