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Today's chart: Bitcoin maintains a short-term support level
The price of Bitcoin is stabilizing above the short-term support level of $87,000 at the time of writing this report on Tuesday. The declining exponential moving averages (EMA) for 50 days at $93,331, 100 days at $98,987, and 200 days at $101,833, confirm the bearish outlook.
The descending trend line limits the rebounds of Bitcoin's price below the $90,000 level, while the Relative Strength Index (RSI) has dropped to 42 on the daily chart, confirming the increasing bearish momentum. A close below the $87,000 level could push Bitcoin towards support levels at $84,450 and $83,822.
On the contrary, the Moving Average Convergence Divergence Indicator ( MACD ) on the same chart indicates a buy signal, as the blue MACD line remains above the red signal line.
If the green chart bars extend above the average line and the MACD indicator rises into the bullish zone, investors will be prompted to increase their exposure, contributing to buying pressure and the possibility of Bitcoin recovering above $90,000.
The daily chart for the BTC/USDT pair
The spot exchange-traded funds in the Ethereum market broke a seven-day streak of outflows, with inflows reaching nearly $85 million on Monday.
Investment flows have seen a noticeable recovery despite the prevailing aversion in the cryptocurrency market, indicating a potential improvement in the performance of institutional investors. Cumulative net flows reached $12.53 billion, while the value of net assets stood at $18.20 billion.
Ethereum Exchange-Traded Fund Statistics.
On the other hand, the XRP-based exchange-traded funds (ETFs) continued their steady cash flows, attracting nearly $44 million on Monday. Since their launch in mid-November, these funds have not experienced any cash outflows. The cumulative net cash inflows amounted to $1.12 billion, while the net asset value reached $1.25 billion.
XRP Exchange-Traded Fund Statistics.
Despite the continuous inflows of exchange-traded funds, XRP is facing a weak derivatives market, with the value of open futures contracts dropping to $3.46 billion on Tuesday from $3.54 billion the previous day. Open trading volume has remained relatively low since mid-October, indicating a lack of confidence among traders in the digital currency's ability to maintain its value.
The open interest on XRP.
Meanwhile, Bitcoin spot exchange-traded funds continued their streak of outflows for the third consecutive day, with nearly $142 million withdrawn on Monday. According to SoSoValue data, the cumulative net inflows reached $57.26 billion, with an average net asset of $115 billion. If the prevailing risk aversion continues, the cost pressure may exceed demand, increasing the likelihood of Bitcoin's price falling to around $80,000.
Bitcoin ETF statistics.