Daily Crypto Signals: Ethereum Slides to $3,000, More XRP ETFs to Launch This Week
Ethereum fell below $3,000 for the first time in four months as crypto investment products recorded their largest weekly outflows since Feb
Quick overview
- Ethereum fell below $3,000 for the first time in four months, reflecting a broader market downturn amid significant outflows from crypto investment products.
- XRP traders are optimistic about upcoming ETF launches that could unlock billions in institutional capital, despite ongoing regulatory concerns.
- The cryptocurrency market experienced volatility, with Bitcoin dropping 25% from its all-time high, while Ethereum's fundamentals weakened significantly.
- Analysts suggest that Ethereum's recovery may depend on reduced global uncertainty and supportive monetary policies.
Ethereum ETH/USD fell below $3,000 for the first time in four months as crypto investment products recorded their largest weekly outflows since February, totaling $2 billion amid heightened market uncertainty. XRP XRP/USD traders remain cautiously optimistic as four spot ETFs prepare to launch this week, potentially unlocking billions in institutional capital while the broader market struggles with regulatory concerns and weakening onchain activity.
Crypto Market Developments
Over the weekend, the cryptocurrency market was very volatile. Bitcoin BTC/USD plunged to $93,029 on Sunday, a 25% drop from its all-time high in October, wiping out all of its 2025 gains. Even though the US government has reopened after a record 43-day shutdown, which many thought would help strained markets, the pullback is still happening.
The biggest losses were in crypto exchange-traded products, which had $2 billion in withdrawals last week—an rise of almost 71% from the previous week’s $1.17 billion outflow. This is the third week in a row that money has flowed out, bringing the total to $3.2 billion. James Butterfill, the head of research at CoinShares, said that the mass exit is due to uncertainties about monetary policy and selling pressure from crypto-native whales.
The United States had the most outflows, with $1.97 billion, or 97% of the total. Switzerland and Sweden had outflows of $39.9 million and $21.3 million, respectively. Germany went against the trend throughout the world and brought in $13.2 million. The total amount of money managed by crypto ETPs fell to $191 billion, a 27% drop from the October high of $264 billion.
Republic Technologies was able to get a $100 million convertible note facility to develop a large Ether treasury, which is good news. This puts them in the same boat as at least 18 other publicly traded companies that are doing the same thing. The facility has special parameters, such as a 0% interest rate, no recurring interest payments, and no need for security if the price of Ether goes down.
Ethereum Faces Critical Test at $3,000
Ethereum fell below the $3,000 mark on Monday, which is a psychologically important level. This was the lowest point in four months and showed a shift in risk-off behavior across the sector. Traders are wondering if the bull market is over for good after the 40% drop from the all-time high of $4,956 in August. Ether’s behavior has been very similar to that of the rest of the altcoin market, which suggests that the drop is due to macroeconomic factors rather than problems peculiar to Ethereum.
The drop in ETH has gotten worse since the fundamentals on the blockchain are getting weaker. The total value locked on the Ethereum network plummeted to $74 billion, the lowest level in four months. This is a 13% reduction from 30 days ago. In the last seven days, decentralized exchange transactions were only $17.4 billion, a 27% drop from the previous month. For a month now, there hasn’t been any demand for bullish ETH leverage. The futures premium has stayed below the 5% neutral level, which shows that traders don’t trust it.
The move toward layer-2 scaling solutions like Base, Arbitrum, and Polygon has made things harder for Ethereum in two ways. These rollups have greatly increased capacity and made Ethereum a stronger player in Real World Asset tokenization and decentralized stablecoin systems. However, they have also greatly decreased demand for base layer fees. Base alone handled around 102 million transactions in the last seven days. This shows that Ethereum’s scaling plan is working, but it also shows how hard it is to keep fee revenue.
Analysts say that Ether’s future might get better if there is less uncertainty in the world’s politics and society and central banks supply liquidity to help their economies. A change in monetary policy like this could be enough to bring Ether back down to the $3,900 level, but it will depend a lot on the overall market circumstances stabilizing in the short term.
XRP Positions for ETF-Driven Rally
XRP is at a key point right now since four spot ETFs are set to launch this week and three more are slated to do so in the next 21 days. Traders are betting that institutional capital inflows could start a rally toward $2.60 after the price found support at $2.20. There are already some success stories that show why these launches are so exciting: Canary Capital’s XRPC started on November 13 with a record $58 million in activity on the first day and $245 million in inflows. This was better than all 900 ETF launches in 2025.
JPMorgan has predicted that XRP ETFs may bring in between $4 billion and $8 billion in the first year, which would be a big boost for the token’s price. When REX/Osprey’s XRPR launched on September 18, it sparked an 18% pre-launch surge and soon gained $150 million in assets under management. This shows that both institutions and individuals are very interested in regulated XRP exposure.
XRP is about to face a big challenge near the $2.20 support level, which has been there since the market crisis on October 10. Getting back to this level would make a long-term recovery more likely. The first significant resistance zone is between $2.34 and $2.41, where all the major moving averages meet. Crypto expert Marzel said that XRP is forming a pennant pattern above $2, which could mean that it is reaching a bottom.
The CoinGlass liquidation heatmap shows that there are big groups of resistance between $2.34, $2.41, and $2.67. This means that XRP’s price may have a hard time going up in the short term. If the price breaks over $2.62, it would mean that bullish momentum is back. If it closes below $2, the consolidation pattern would be invalidated. As the ETF launches this week, XRP traders are keeping a careful eye on these critical levels since volume surges are expected to show the direction of the breakout before late Q4.
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