As investors continue to hope for the elusive "altcoin season," Bitcoin remains a bastion of stability, trading near $118,800 on Tuesday morning. Despite the benchmark cryptocurrency holding its ground, the broader altcoin market is showing signs of weakness, with several top coins seeing notable declines.
Ethereum Slides Despite Historic ETF Inflows
Ethereum (ETH) is currently changing hands at $3,800, down 3% in the past 24 hours. The pullback comes even as US Ethereum Spot ETFs report their seventeenth consecutive day of positive net inflows—a record streak that has brought in over $5 billion in traditional finance capital in July alone. Still, after nearly 60% gains since early July, ETH is encountering resistance at the $4,000 level, and profit-taking by traders is putting pressure on price action.
XRP and Solana Hit Harder by Corrections
The pain is more acute for Ripple (XRP) and Solana (SOL). XRP has fallen 5.1% to $3.14, while Solana is down 4.8%, trading at $185. Both coins are grappling with profit-taking and the impact of regulatory uncertainty. The US Securities and Exchange Commission (SEC) has temporarily paused approval of new spot ETFs for altcoins, dampening sentiment. Despite this, Bloomberg analysts place the odds of XRP and Solana spot ETFs launching before year-end above 90%.
Macro Catalysts and Volatility Ahead
Looking forward, the market is on edge ahead of the Federal Reserve’s rate decision scheduled for Wednesday evening. Historically, crypto and equity prices have exhibited heightened volatility in the run-up to Fed Chair Jerome Powell’s press conference. As BTC-ECHO analyst Stefan Lübeck notes: "If Powell maintains a cautious or even hawkish tone regarding global uncertainties and the effects of trade tariffs, we could see renewed headwinds for US financial markets."