XRP and Ether Lead Crypto Losses as Traders Eye $70,000 Bitcoin

Bitcoin failed to hold above $65,000 for a fourth consecutive day as an oil rally reignited inflation concerns ahead of Wednesday's U.S. price data.

Bitcoin slipped below the $65,000 threshold after a fourth unsuccessful attempt to maintain that level, though it remains marginally higher on the week against a backdrop of broadly weak crypto market sentiment. Ether and XRP paced losses among major tokens, while Solana and BNB held onto weekly gains. Hyperliquid's HYPE token, tron, and dogecoin each edged higher.

Analysts see a buildup of short positions above $65,000 and identify $70,000—near bitcoin's 200-day moving average—as the critical level that could shift sentiment. Meanwhile, broader financial markets are focused on rising bond yields, surging oil prices, and the upcoming U.S. inflation report. Digital assets have traded increasingly in step with traditional risk markets this year, meaning Treasury yield shifts and Fed rate expectations now feed directly into token prices.

Market Moves

Bitcoin slid to approximately $64,000 on Tuesday, down over 1% on the day but still up marginally on the week, following its fourth failed attempt to hold above $65,000. The cryptocurrency reached a 24-hour high just above $65,300 before retreating through the Asian afternoon session.

Ether was the weakest performer among major tokens, dropping over 2% to $1,878, though it remains slightly higher over a seven-day period. XRP fell nearly 2% to $1.01 and is down almost 6% on the week—the worst weekly performance among the group by a significant margin. Solana eased less than 1% to $76 but leads the weekly table with a 3% gain. BNB slipped to $600 while retaining a 2% weekly advance.

Three major tokens moved in the opposite direction. Hyperliquid's HYPE rose almost 2% to $55, tron gained slightly to 33 cents, and dogecoin was marginally higher at 7 cents.

Analyst Perspective

Alex Kuptsikevich, chief market analyst at FxPro, noted that bitcoin has been testing the $65,000 level for four straight days without any corresponding surge in buying interest as it approaches the psychologically significant round number.

More telling, according to Kuptsikevich, is the absence of selling pressure into that level, which he interpreted as "a build-up of short positions well above this level" rather than existing holders taking profits.

That dynamic places $70,000 as the next key area to monitor—another round number with the 200-day moving average situated nearby. A decisive break above that level would put bitcoin beyond the trading range where buyers and sellers battled through March and April, a move that Kuptsikevich said would meaningfully shift market sentiment.

Traders have not reached that point yet. The crypto sentiment index stands at 30, in territory classified as the "fear zone," and has remained there since mid-July with occasional dips toward extreme fear.

Broader Market Context

Bonds and oil set the tone across wider financial markets. U.S. 10-year Treasury yields rose six basis points on Monday to 4.71%, pulling Australian and New Zealand government bonds lower in tandem. No cash Treasury trading occurred during Asian hours due to a public holiday in Japan.

Brent crude held at $87.73 a barrel after surging 5% on Monday, when President Donald Trump issued fresh demands on Iran and dimmed prospects for a deal to reopen the Strait of Hormuz. Gold rose for a third consecutive session above $4,400 an ounce.

Higher oil prices feed into the inflation data scheduled for release Wednesday at 8:30 a.m. ET, which is why the rally is weighing on assets that typically perform better when the likelihood of interest rate increases diminishes. Wednesday's CPI print will shape expectations for the Federal Reserve's next policy decision, a cue that has repeatedly moved crypto markets in recent months.

Fund flows had been moving in the opposite direction until this week. U.S. spot bitcoin exchange-traded funds absorbed $865 million across five sessions through Aug. 7, before recording a provisional outflow of $91 million on Monday.