Bitcoin, Ethereum and XRP stall, is a deeper pullback ahead?

The cryptocurrency market is broadly correcting on Monday as investors shift focus to profit-taking after last week’s rally. Bitcoin (BTC) is edging lower amid capped upside below $80,000, with immediate support at $77,000.

Meanwhile, Ethereum (ETH) holds above short-term support at $2,400 but lags upward momentum toward the next key resistance at $2,600. On the other hand, Ripple (XRP) hovers around $1.48 as momentum cools against the backdrop of a 72% surge last week from $1.00 to highs around $1.70.

Bitcoin, Ethereum and XRP ETFs draw notable inflows

Bitcoin spot Exchange-Traded Funds (ETFs) recorded a significant jump in inflows, totaling $1.92 billion last week through Friday. This was the largest inflow volume since October, underpinning improving risk-on sentiment. Cumulative inflows now stand at $53.71 billion, rising from $51.79 billion posted the week before.

Ethereum spot ETFs saw renewed demand, with inflows totaling $697 million through Friday. This marks a massive upswing from roughly $2.26 million in outflows observed the previous week. Meanwhile, cumulative inflows stand at $12.15 billion, up from $11.45 billion the week before.

Institutional investors are also showing more appetite for XRP, with inflows totaling $40 million through Friday, up from $2.25 million the week before. According to SoSoValue data, cumulative inflows average $1.55 billion, with total assets under management at $1.33 billion.

If sustained, increasing demand for crypto investment products could boost the broader market’s recovery outlook. However, traders should temper expectations, as profit-taking could impede momentum and raise the chances of a deeper correction.

Technical analysis: Bitcoin stalls amid a capped upside

Bitcoin trades at $77,240, holding well above the key Exponential Moving Averages (EMAs) and maintaining a clear bullish near-term bias. The 50-day EMA at $66,777, the 100-day EMA at $67,410, and the 200-day EMA at $71,805 all trail price and reinforce a well-supported uptrend, while the SuperTrend line at $70,570 also sits below spot, hinting at an intact bullish structure.

Although Bitcoin has corrected from the next key resistance level near $80,000, momentum remains stretched, with the Relative Strength Index (RSI) at 78 lodged in overbought territory and the Moving Average Convergence Divergence (MACD) above zero with a strong positive histogram, suggesting the latest rally could be vulnerable to consolidation rather than a straight extension higher.

Immediate support lies at the current price region near $77,000, ahead of a more structural cushion at the 200-day EMA around $71,805. Below that, the SuperTrend line at $70,570 and the clustered 100-day and 50-day EMAs at $67,410 and $66,777 form a broader demand zone that should attract buyers on deeper pullbacks. The topside remains technically open, but the overbought RSI and elevated MACD readings suggest new long positions would be better timed on dips toward the cited support layers rather than chasing price at current highs.

Altcoins outlook: Ethereum and XRP eye higher support levels

Ethereum trades at $2,444, extending its advance well above the key moving averages, which keeps the near-term bias bullish. Price is comfortably above the 50-day EMA around $1,985 and the 100-day EMA near $1,973, while also holding over the longer-term 200-day EMA at approximately $2,141, suggesting a constructive trend structure.

Momentum remains strong, with the MACD in positive territory and the RSI hovering in overbought territory near 77, hinting that upside pressure persists even as the rally starts to look stretched.

Immediate support is found around $2,400, followed by the 200-day EMA at $2,141, which marks a more significant structural floor. Below that, the 50-day EMA at $1,985 and the 100-day EMA at $1,973 form a dense support cluster that should attract buyers on deeper pullbacks if the current overbought conditions trigger a corrective phase. Meanwhile, a decisive break above the next hurdle at $2,600 could pave the way for gains targeting $3,000.

XRP, on the other hand, trades at $1.45, extending its sharp rebound and holding well above key moving averages, which tilts the near-term bias firmly bullish. The spot price has broken above the 50-day EMA at $1.14, the 100-day EMA at $1.18 and the 200-day EMA at $1.35, suggesting a strong impulsive move rather than a gradual trend shift.

The RSI around 77 shows overbought conditions, while the MACD remains positive, hinting that upside momentum is robust but increasingly stretched.

On the downside, the SuperTrend line at $1.25 acts as the first meaningful support level, where dip-buying interest could emerge if price retreats from current highs. On the topside, the reclaimed 200-day EMA at $1.35, followed by the 100-day EMA at $1.18 and the 50-day EMA at $1.14, now sit below market and reinforce the broader constructive structure, although the overbought RSI warns that consolidation or a corrective pullback toward the $1.25 area would be healthy before any fresh rally extension.

(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.

John Isige is a seasoned cryptocurrency journalist and markets analyst committed to delivering high-quality, actionable insights tailored to traders, investors, and crypto enthusiasts.

He enjoys deep dives into emerging Web3 tren

Source: www.fxstreet.com