Crypto markets stabilize ahead Fed decision
Bitcoin (BTC) is trading slightly above $92,000 on Monday, supported by improving market sentiment ahead of the Federal Reserve’s monetary policy decision on Wednesday.
Altcoins, including Ethereum (ETH) and Ripple (XRP), are following Bitcoin’s lead. Ethereum is edging closer to $3,200, while XRP has risen above $2.10 after bouncing off support at $2.00.
Bitcoin spot Exchange Traded Funds (ETFs) resumed inflows on Friday, with nearly $55 million streaming in after two consecutive days of outflows totaling $195 million on Thursday and $15 million on Wednesday, according to SoSoValue.
The cumulative inflow volume now stands at $57.62 billion, with net assets of $117 billion. Continued inflows underpin positive sentiment, helping Bitcoin’s uptrend.
However, retail demand remains weak despite a slight increase in futures Open Interest (OI) to $57.16 billion on Monday from $56.32 billion the previous day. OI is still far below the record high of $94.12 billion seen on October 7 before the flash crash on October 10.
Ethereum experienced outflows of $75 million on Friday and $42 million on Thursday. BlackRock’s ETHA was the only US-listed ETH spot ETF in the red on Friday. Cumulative inflows remain at $12.88 billion, with net assets of $18.94 billion.
Technically, Ethereum is extending its recovery above $3,100. The RSI crossed above the midline, and MACD has maintained a buy signal since November 25. A break above the 50-day EMA at $3,316 could strengthen the bullish bias, though resistance at $3,459 and $3,521 may slow momentum toward $4,000.
XRP spot ETFs are on a strong streak, with 15 consecutive days of inflows. SoSoValue data shows XRP ETFs recorded $10 million in inflows on Friday and have not experienced outflows since their debut on November 13. The cumulative inflow stands at $897 million, with net assets of $861 million.
XRP rose above $2.10 on Monday after bulls defended support at $2.00. The 50-day EMA at $2.27, 100-day EMA at $2.43, and 200-day EMA at $2.47 remain key resistance levels. Buyers must flip these averages into support to reinforce the bullish grip.
Crypto markets are stabilizing as investors await the Federal Reserve’s policy decision. The President of the United States is expected to face questions on economic resilience and inflation, which could influence broader risk sentiment.
Bitcoin bulls aim to push toward $100,000, while Ethereum and XRP continue to test critical resistance levels. Despite weak retail demand, institutional flows via ETFs remain the backbone of current momentum.