XRP Holds $2.38; Altcoins Rotate After $107M ETH Outflows
XRP rose 1.8% to $2.42, defending its $2.38 support and maintaining position above the 4-hour moving averages and ascending trendline. Key resistance levels to watch are $2.59 and $2.70. The rebound follows $107 million of outflows from Ethereum ETFs, which has spurred an altcoin rotation as traders seek opportunities beyond ETH. XRP’s technical setup suggests potential continuation of the recovery, even as broader market sentiment feels the impact of Ethereum outflows.
Bullish
The defense of the $2.38 support and rebound above short-term moving averages indicate buying interest in XRP, reflecting bullish momentum. Historically, altcoin rotations often follow Ethereum sell-offs, with traders reallocating funds to cheaper tokens. For instance, after significant ETH ETF outflows earlier this year, altcoins like XRP saw price rallies. In the short term, continued support defense could lead to a retest of resistance at $2.59 and $2.70. Over the long term, sustained altcoin inflows depend on Ethereum’s market performance and potential fund reversals in ETF flows.