Crypto Today: Bitcoin, Ethereum, XRP extend decline amid renewed risk-averse sentiment
- Bitcoin is falling toward $62,000 as weekly ETF outflows return amid weak market sentiment.
- Ethereum remains pressured, edging toward the immediate $1,800 support despite mild ETF inflows.
- XRP’s upside remains capped by descending major moving averages and weak momentum indicators.
The cryptocurrency market remains weak on Monday, with Bitcoin (BTC) falling toward the nearest $62,000. Ethereum (ETH) and Ripple (XRP) reflect the sell-off across altcoins, edging lower toward $1,800 and $1.05, respectively.
Risk appetite remains subdued, as the Fear & Greed Index holds steady at 28, deep within Fear territory. Persistent risk-off sentiment is likely to cap potential upside and prompt continued investor selling.
Bitcoin ETFs post mild outflows
Institutional demand is showing initial signs of softening. According to SoSoValue, spot BTC Exchange-Traded Funds (ETFs) registered net outflows of $61.53 million last week, ending a three-week streak of positive inflows. Should this trend persist and accelerate, BTC may face further downside pressure.
Ethereum ETF painted a slightly bullish picture last week, with mild inflows of $17.42 million. This marks the fourth consecutive week of inflows. If institutional demand continues to improve this week, a recovery could ensue toward $2,000.
XRP spot ETFs marked the third straight week of inflows totaling $14.86 million on Friday, signaling improving risk-on sentiment. As a result, cumulative inflows edged higher to $1.51 billion, with net assets under management averaging $989 million.
Technical analysis: Bitcoin bears gain ground
Bitcoin trades around $62,555, extending a bearish near-term tone as price holds firmly beneath the key Exponential Moving Averages (EMAs). The 50-day Exponential Moving Average (EMA) at $64,649, the 100-day EMA at $67,177 and the 200-day EMA at $72,823 all sit overhead, suggesting that the broader trend remains under pressure while the pair trades below this stacked resistance group.
Momentum indicators reinforce the downside bias, with the Relative Strength Index (RSI) at 43 slipping below the midline and the Moving Average Convergence Divergence (MACD) showing a negative reading with the line below zero, hinting at persistent selling interest rather than a clean base.
On the topside, initial resistance is seen at the 50-day EMA around $64,648.93, followed closely by the downward resistance trend line’s break level near $64,783, forming a nearby capping zone that bulls would need to reclaim to stabilize the outlook. Above there, the 100-day EMA at $67,177 is the next hurdle before the more strategic barrier at the 200-day EMA around $72,823, which continues to define the broader bearish structure. If the sell-off persists, traders may treat the recent lows around $62,275 as provisional demand, but the technical picture will likely remain pressured while BTC/USDT stays below the clustered moving average resistance overhead.
Altcoins outlook: Ethereum and XRP face increasing downside
Ethereum trades at $1,840 with a bearish near-term bias, as the price holds beneath the 50-day, 100-day and 200-day Exponential Moving Averages (EMAs) clustered from roughly $1,850 up to $2,155. The downside tone is reinforced by MACD in negative territory with a deepening bearish reading, while the RSI around 48 suggests fading momentum rather than an oversold condition, leaving room for further weakness if selling pressure persists.
On the topside, initial resistance is defined by the 50-day EMA near $1,850, where a daily close above would be needed to ease immediate pressure. Further hurdles then emerge at the 100-day EMA around $1,927, ahead of a more substantial cap at the 200-day EMA near $2,155. Any break lower from current levels would likely see traders look back to recent swing lows and prior horizontal demand zones on the chart for potential stabilization areas.
XRP, on the other hand, trades at $1.06, keeping a bearish near-term bias as price holds below the key moving averages. The 50-day EMA at $1.12, together with the 100-day and 200-day EMAs at $1.20 and $1.40 respectively, sit overhead and suggest that rallies remain capped for now. The RSI at roughly 44 leans mildly bearish, while the MACD slips marginally below zero with a contracting negative histogram, hinting at weak downside momentum rather than an aggressive selloff.
Initial resistance lies at the 50-day EMA at $1.12, closely followed by the 78.6% Fibonacci retracement at $1.13, forming a nearby barrier to recovery. Above that, the 100-day EMA at $1.20 aligns with the Fibonacci 61.8% retracement at $1.22, before higher resistance appears at $1.28 and $1.34 from the 50.0% and 38.2% Fibonacci levels, with the 200-day EMA at $1.40 and the 23.6% Fibonacci retracement at $1.42 marking a broader supply band. On the downside, the 100.0% Fibonacci level at $1.01 stands as the next notable support, where sellers could pause if the pair extends its decline.
(The technical analysis of this story was written with the help of an AI tool. Know more.)
Crypto ETF FAQs
An Exchange-Traded Fund (ETF) is an investment vehicle or an index that tracks the price of an underlying asset. ETFs can not only track a single asset, but a group of assets and sectors. For example, a Bitcoin ETF tracks Bitcoin’s price. ETF is a tool used by investors to gain exposure to a certain asset.
Yes. The first Bitcoin futures ETF in the US was approved by the US Securities & Exchange Commission in October 2021. A total of seven Bitcoin futures ETFs have been approved, with more than 20 still waiting for the regulator’s permission. The SEC says that the cryptocurrency industry is new and subject to manipulation, which is why it has been delaying crypto-related futures ETFs for the last few years.
Yes. The SEC approved in January 2024 the listing and trading of several Bitcoin spot Exchange-Traded Funds, opening the door to institutional capital and mainstream investors to trade the main crypto currency. The decision was hailed by the industry as a game changer.
The main advantage of crypto ETFs is the possibility of gaining exposure to a cryptocurrency without ownership, reducing the risk and cost of holding the asset. Other pros are a lower learning curve and higher security for investors since ETFs take charge of securing the underlying asset holdings. As for the main drawbacks, the main one is that as an investor you can’t have direct ownership of the asset, or, as they say in crypto, “not your keys, not your coins.” Other disadvantages are higher costs associated with holding crypto since ETFs charge fees for active management. Finally, even though investing in ETFs reduces the risk of holding an asset, price swings in the underlying cryptocurrency are likely to be reflected in the investment vehicle too.
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