Crypto Market Today: What’s Next for ETH, XRP, and SOL as Bitcoin Stalls Near $113K Amid ETF Outflows and Macro Pressures

Cryptocurrency markets remain cautious as Bitcoin struggles to hold above $115,000, ETF outflows mount, and investors await Federal Reserve Chair Jerome Powell’s upcoming speech at the Jackson Hole Economic Policy Symposium. The broader market is showing signs of weakness, influenced by macroeconomic headwinds and equity market pressures. Bitcoin’s Struggle and ETF Outflows- Bitcoin Price Action: BTC traded near $113,700 on Thursday, failing to sustain a rebound above the key resistance at $115,000, capped by the 50-day moving average. This resistance highlights ongoing market fragility.- Market Capitalization: The total crypto market cap rose marginally by 1% to $3.86 trillion, which analysts interpret as a temporary bounce rather than a sustained recovery.- ETF Outflows: Bitcoin ETFs saw significant net outflows over three consecutive days—$523 million on August 19, $311 million on Wednesday, and $192 million on Thursday. Ether ETFs also experienced over $500 million in outflows during the same period.- Reason for Outflows: Analysts attribute these withdrawals to profit-taking and liquidations following Bitcoin’s record highs earlier in August.Alex Kuptsikevich, chief market analyst at FxPro, noted, “The technology sector in traditional financial markets remains under pressure, dampening the mood of cryptocurrency buyers. Bitcoin’s unsuccessful attempt to return above $115K only highlights the market’s weakness.” Ethereum (ETH) and On-Chain Metrics- Price and Performance: ETH traded at $4,289, up slightly by 0.4% on the day but down over 7% from recent highs.- On-Chain Activity: Active Ethereum addresses have dropped 28% since July 30, signaling softer retail participation.- Analyst View: The decline in active addresses could limit near-term upside for ETH, even if Bitcoin stabilizes. XRP and Solana (SOL) Follow Bitcoin’s Lead- Price Movements: XRP slipped to $2.87 and Solana to $183, both down more than 6% over the past week.- Market Sentiment: Traders suggest a dovish pivot from the Fed could trigger short-term rebounds, but without fresh capital inflows, gains may be limited. Derivatives and Hedging Activity- The 30-day delta skew in Bitcoin options hit 12%, a four-month high, indicating increased demand for downside protection.- This hedging pressure reflects market caution ahead of Powell’s speech and ongoing macroeconomic uncertainty. Macro Factors Driving Bitcoin’s WeaknessRuslan Lienkha, chief of markets at YouHodler, emphasized that Bitcoin’s recent weakness is primarily due to macroeconomic factors rather than crypto-specific issues. He noted:- Elevated selling pressure in equity markets is spilling over into Bitcoin.- It remains unclear if current market positioning is short-term hedging ahead of Powell’s remarks or signals a deeper trend reversal.- Markets may be nearing the later stages of the bullish cycle, but whether the pullback is a correction or the start of a broader downturn is uncertain. Longer-Term Outlook and CatalystsDespite near-term challenges, some analysts remain optimistic about Bitcoin’s long-term prospects:- Bitwise projects that U.S. pension plan allocations could push Bitcoin to $200,000 by year-end, potentially having a greater impact than spot ETF approvals.- Initial pension inflows could begin as early as autumn, providing a significant catalyst for BTC. What to Watch Next- Jerome Powell’s Jackson Hole Speech (Friday): Market participants are focused on whether Powell adopts a dovish tone that could ease pressure on risk assets or maintains a cautious stance that might extend Bitcoin’s recent slide.- ETF Flows and Macro Data: Continued monitoring of ETF inflows/outflows and broader economic indicators will be critical in assessing market direction. Summary- Bitcoin is struggling to break above $115,000 amid macroeconomic headwinds and ETF outflows.- Ethereum, XRP, and Solana are mirroring Bitcoin’s weakness, with softer on-chain activity and price declines.- Derivatives markets show increased demand for downside protection, reflecting cautious sentiment.- The crypto market’s near-term trajectory hinges on Powell’s upcoming speech and broader macroeconomic developments.- Longer-term catalysts like pension fund allocations could drive significant upside later this year.