HBAR Price Finds New Opportunity in the Market Crash

Cryptocurrency prices fell sharply across major assets on Thursday as market participants reacted to a combination of weak technical indicators and deteriorating macroeconomic sentiment. Bitcoin, Ethereum, and XRP all experienced downward pressure, with Bitcoin struggling to hold key support levels and Ethereum slipping below $3,000.

The Federal Reserve's decision to maintain interest rates within the 3.50%-3.75% range exacerbated the risk-off environment, limiting the appeal of speculative assets. This rate stance has made yield-bearing investments more attractive, pushing capital away from volatile digital assets.

Bitcoin ETFs recorded outflows of nearly $20 million on Wednesday, with cumulative inflows standing at $56.33 billion and net assets at $115.35 billion. In contrast, Ethereum and XRP ETFs saw inflows, indicating sustained institutional interest despite broader market weakness.

Why Did This Happen?

The Federal Reserve's rate decision played a key role in shaping the current bearish sentiment. The central bank's reluctance to cut rates in the near term has kept the U.S. dollar strong, reducing leverage for traders and lowering the appeal of crypto as a high-risk asset class.

Technical indicators also reinforced the downward momentum. Bitcoin is trading below key moving averages, and the RSI and MACD suggest ongoing bearish bias. A break below $88,000 could trigger further declines.

Ethereum and XRP also show deteriorating technical setups. Ethereum is hovering near $2,900, while XRP is sliding toward $1.81. Both tokens are below critical EMAs and showing bearish momentum in RSI and MACD.

How Did Markets Respond?

The broader crypto market mirrored declines in traditional equities. The Nasdaq dropped roughly 2%, and Microsoft shares fell 12%, underlining the correlation between crypto and tech stocks.

Institutional activity showed mixed signals. While US spot Bitcoin ETFs saw outflows, Ethereum and XRP ETFs maintained inflows. Ethereum ETFs recorded $28 million in inflows on Wednesday, while XRP ETFs added $7 million, bringing cumulative inflows to $1.26 billion.

What Are Analysts Watching Next?

Market participants are closely monitoring Bitcoin's ability to reclaim $88,000 as a key support level. A sustained break below this threshold could push the price toward $80,000, with potential for further downside.

Ethereum's near-term trajectory depends on its ability to reclaim the $3,000 level and push above key EMAs. A move above $3,095 (50-day EMA) could neutralize current pressure, but a sustained drop below $2,900 would likely accelerate the downtrend.

XRP faces similar challenges, with key support levels at $1.90 and the 50-day EMA at $2.01. A rebound above these levels would be required to reverse the bearish momentum.

Analysts are also watching for regulatory developments, particularly as the U.S. Senate Agriculture Committee advances the Digital Commodity Intermediaries Act, which could shift oversight of digital assets toward the CFTC.