Crypto Today: Bitcoin, Ethereum, XRP stabilize at lower levels amid ETF outflows and macroeconomic risks
- Bitcoin ticks up above $77,000 after testing support, weighed down by macroeconomic headwinds and uncertainty.
- Ethereum remains stable above $2,400 support, with upside capped by supply around $2,500.
- XRP shows signs of recovery as bulls test the 200-day EMA as immediate resistance.
The broader cryptocurrency market is rising on Friday, with Bitcoin (BTC) trading above $77,000 after testing lower support near $76,500. Ethereum (ETH) shows signs of stability, hovering above the support provided at $2,400 despite capped upside at $2,500.
Meanwhile, Ripple (XRP) holds above $1.33 after three straight days of declines, reflecting growing headwinds due to macroeconomic uncertainty.
Bitcoin, Ethereum and XRP pressured ahead of US CPI report
Despite the current stable outlook, cryptocurrency prices have remained under pressure this week as investors weigh concerns about macroeconomic events ahead of the Federal Reserve’s (Fed) monetary policy decision.
The latest Bureau of Labor Statistics (BLS) data, released on Thursday, shows the United States (US) Producer Price Index (PPI) climbed 5.4% annually in August, narrowly surpassing market expectations of 5.3% and accelerating from July’s upwardly revised 4.8% gain.
Excluding food and energy, core PPI rose 4.6% YoY, in line with consensus and up from July’s revised 4.3% increase. On a monthly basis, the headline PPI edged up 0.4%, and the core PPI rose by 0.2%.
Meanwhile, market participants are awaiting the release of the US Consumer Price Index (CPI) report, which is an inflation indicator that directly influences the central bank’s policy direction.
A higher-than-expected CPI print would signal persistent inflationary pressures in the US economy, increasing the likelihood of an interest rate hike on Wednesday. Conversely, a softer-than-anticipated CPI reading would strengthen the case for an extended pause.
Investor sentiment remains cautious as expectations mount for the Fed to tighten monetary policy in response to persistent inflation, which sits above the central bank’s primary 2% goal. The CME FedWatch tool now shows 69% odds for a rate hike following the PPI report, down slightly from 72% the previous day.
Technical analysis: Bitcoin bulls defend lower support
Bitcoin trades at $77,240, maintaining a constructive bullish bias as price stays comfortably above the 50-day, 100-day, and 200-day Exponential Moving Averages clustered between roughly $70,800 and $72,900. This layered moving-average base suggests underlying dip demand, although the Parabolic SAR at $82,183 now acts as trend-following overhead resistance.
At the same time, momentum readings are mixed, with the Relative Strength Index (RSI) near 55 keeping a neutral-to-positive tone and the Moving Average Convergence Divergence (MACD) in negative territory hinting at still-fragile upside conviction.
Immediate resistance is the psychological levels at $78,000 and $80,000, followed by the Parabolic SAR barrier at $82,183. A daily close above would likely reopen the path toward fresh highs and strengthen the prevailing bullish structure. On the downside, initial support is aligned with the current price region around $77,240, ahead of a key demand cluster where the 50-day EMA at $72,882 and the 200-day EMA at $72,891converge, with deeper pullbacks likely to find buyers near the 100-day EMA at $70,827 as long as the broader uptrend remains intact.
Altcoins technical outlook: Ethereum and XRP struggle to gain momentum
Ethereum trades at $2,477, retaining a constructive bullish bias as price holds well above the 50-day, 100-day and 200-day EMAs clustered between roughly $2,120 and $2,230. The MACD histogram remains negative, suggesting upside momentum is still soft, while the Parabolic SAR at $2,563 sits above spot and acts as the next dynamic barrier to further gains.
On the topside, immediate resistance is the psychological level $2,500, followed by the Parabolic SAR at $2,563. A break would open the way for a more decisive continuation of the advance. On the downside, initial support lies at the 50-day EMA near $2,233, followed by the 200-day EMA at $2,190 and the 100-day EMA at $2,123, where buyers would be expected to re-emerge on dips as long as the broader uptrend structure remains intact.
As for XRP, the price is sandwiched between key moving averages, holding above the 50-day and 100-day EMAs while sitting just under the 200-day EMA at $1.36, which now acts as immediate resistance and keeps the near-term bias neutral. The Parabolic SAR, perched much higher at $1.57, reinforces the idea of a market that has lost upside momentum, while MACD in negative territory against an RSI hovering near 52 suggests mixed, range-bound conditions rather than a clear trend.
A daily close above the 200-day EMA at $1.36 would be the first signal that buyers are attempting to regain control, exposing the higher resistance implied by the Parabolic SAR level at $1.56. On the downside, initial support is seen at the 50-day EMA around $1.27, followed by the 100-day EMA near $1.25. A break beneath this EMA cluster would weaken the broader structure and open the door to a deeper corrective phase.
(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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Past performance is not a reliable indicator of future performance and/or results. Forward-looking scenarios or forecasts are not a guarantee of future performance. Actual results may differ materially from those anticipated.
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