Bitcoin News Today: Bitcoin, Ethereum, XRP Under Pressure as Bearish Momentum Intensifies

Bitcoin (BTC), Ethereum (ETH), and Ripple (XRP) are showing signs of structural weakness as their price trajectories face mounting downside risks. Recent market analysis suggests that Bitcoin may be on the cusp of a major bearish shift, with key technical indicators like the RSI falling below critical levels and a descending channel capping upward moves. Ethereum faces similar challenges, with ongoing outflows from spot ETFs and a weakening on-chain environment. XRP, despite some ETF inflows, remains vulnerable as bearish sentiment intensifies and on-chain activity wanes.

The broader crypto market has entered a period of uncertainty, with Bitcoin and Ethereum struggling to reclaim key resistance levels and XRP teetering near crucial support. Analysts are closely monitoring price action and momentum indicators for signs of a deeper correction or potential stabilization. Meanwhile, the structural stagnation of the market is being fueled by thin order books, reduced inter-exchange flows, and a concentration of liquidity on a few platforms.

Market participants remain wary as Bitcoin's price shows signs of capitulation, with failed breakout attempts and a bearish RSI hinting at a possible $80,000 bottom. The descent into this level could trigger a wave of liquidations, especially if the price breaks below the $86,000–$88,000 range. Ethereum, though holding above $3,000, faces a similar scenario with its technical indicators favoring further weakness until a clear recovery is established.

Why the Standoff Happened

Bitcoin's recent struggles are tied to a combination of technical and market dynamics. A descending channel formed since October has consistently limited price recoveries, with sellers maintaining control at each attempt to break out. Analysts like Rekt Fencer and Dami-Defi have highlighted the growing bearish pressure, noting that Bitcoin's RSI has dipped below 50-a historically bearish regime-and is now hovering near 40, where support is historically weak. The weakening momentum and repeated rejections of key levels suggest a shift in sentiment toward sellers.

For XRP, the situation is equally concerning.

The token has fallen into a descending wedge pattern, with price action consolidating near the $1.90 support level. On-chain activity has also waned, with a sharp decline in newly created addresses on the XRP Ledger (XRPL) and reduced supply held by large wallets. This trend indicates declining adoption and demand, which could make it harder for the token to sustain a meaningful recovery unless there is a reversal in network activity.

How Markets Reacted

The structural stagnation in the market is being amplified by weak inter-exchange flows and fragmented liquidity. Despite spot depth recovering to pre-FTX levels, the distribution of liquidity remains highly centralized, particularly on Binance, which accounts for a significant portion of bid and ask volumes. This concentration creates a single point of failure, where large flows-such as ETF redemptions or macro-driven selling-could cause sharp price swings.

Meanwhile, institutional demand for Bitcoin and Ethereum has waned, with ETFs seeing significant outflows in recent weeks. Bitcoin ETFs, which had previously drawn billions in inflows, are now experiencing net redemptions. This shift is being attributed to a combination of factors, including reduced basis trade profitability and a shrinking arbitrage opportunity between spot and futures markets. For XRP, however, the ETF story is different. Despite the broader bearish environment, XRP ETFs have maintained steady inflows, reflecting unique demand dynamics tied to its cross-border remittance use case.

What This Means for Investors

Investors are now navigating a complex market where bullish narratives coexist with bearish fundamentals. The ETF inflows into XRP are a positive sign, but they have yet to translate into a strong price recovery. This suggests that demand is being offset by selling pressure elsewhere in the market. For Bitcoin and Ethereum, the focus remains on whether key support levels can hold and whether the market can generate enough momentum to break out of its current range.

The coming weeks will be critical for determining the next major move. A sustained breakout above Bitcoin's descending channel or Ethereum's EMAs could signal the end of the bearish trend. However, a continued failure to gain traction above these levels may deepen the correction. XRP's ability to maintain $1.90 support will also be a key indicator of broader market sentiment.

For now, investors are advised to adopt a cautious stance. Position sizing and stop-loss strategies are essential as volatility remains high. Analysts recommend monitoring the RSI and MACD indicators for potential reversals and watching for any major macroeconomic developments that could shift the market dynamic.