Bitcoin Recovers from Geopolitical Dip, Retests $108K as Market Watches Trump-Fed Rift

Bitcoin (BTC) is recovering some of the losses made earlier due to geopolitical tensions as it briefly rose to a new record of around $108,000 in an upsurge of the resistance level before settling back to around $107,356 on Thursday. The rebound considers new optimism among investors in digital assets, which is partly based on rising doubts about the independence of the Federal Reserve and the widening rift between President Donald Trump and his current chairman, Jerome Powell. In the meantime, Ethereum (ETH) and Ripple (XRP) are still moving upwards with a stable derivatives market, and open interest is looking to pick up.

Market Sentiment Shifts Amid Trump’s Comments on Fed Leadership

The tendency in the cryptocurrency market is also very different after the new attacks on it, expressed by the US president, Trump, who implies that the Fed Chair Powell should be replaced. Speaking at the NATO summit in The Hague, Trump more or less branded Powell as “terrible” and said he already has three or four possible replacements in mind.

The latest offence against Powell by the populace has increased fears that the Fed is independent. Trump has insisted that interest rates be reduced even as Powell, who appeared before the U.S Senate panel on Wednesday, was guarded, saying that there would likely be inflationary pressure following the rising tariffs imposed.

Those tensions were mirrored in the U.S. Dollar Index (DXY), which fell to 97.17 as of Thursday. Overall, since January 13, shortly before Trump came to power, the DXY lost about 11.82 percent in value, reaching a maximum of 110.00, thus indicating volatility in the conventional market.

Spot ETF inflows surge as a flight to crypto. The rush into spot exchange-traded funds has become a flight to crypto, with the top funds gaining nearly all of their assets since mid-June.

In the situation of institutional uncertainty, the demand for crypto-based financial products has exploded. According to the data provided by SoSoValue, BTC spot ETFs experienced more than 547 million in inflows on Wednesday, and it was the twelfth consecutive day of positive net inflows. The amount of total inflows is currently at 48.14 billion US dollars, and total net assets are approximately 134 billion US dollars.

Ethereum spot ETF also enjoyed continued interest, where about 60 million was invested in it on the same day. Such ETFs currently boast over 4.1 billion dollars in cumulative inflows, with net assets near 10 billion dollars.

Bitcoin Demand Soars as Corporations Add to Holdings, FHFA Signals Crypto-Backed Mortgages

Corporate purchases of Bitcoin (BTC) are steadily supporting the rise in institutional demand. This week, several of the largest firms added to their treasury holding. Tokyo-based Japanese investment company Metaplanet has announced a further 1234 BTC purchase on Thursday, bringing its total purchase in the last few days to 1,111 BTC bought on Monday. The total amount of Bitcoins that the firm has is 12,345 BTC.

In the meantime, ProCap BTC, headed by a popular Bitcoin booster, Anthony Pompliano, invested 1,208 BTC on Wednesday. The company already bought BTC previously in the week, and now it holds 4,932 BTC in total. Overall, the amount of BTC amassed by corporate entities has already reached 7,597 this week, demonstrating the investment sustainability of institutional interest in BTC as a long-term investment.

FHFA Opens Door to Bitcoin-Backed Mortgages

It would be perhaps a groundbreaking development of Federal Housing Finance Agency (FHFA) Director William Pulte, who in a statement on Wednesday informed Fannie Mae and Freddie Mac to prepare to acknowledge cryptocurrencies as qualifying assets in mortgage applications.

Pulte emphasized in a X post tha, according to the vision of President Trump to make the United States the crypto capital of the world, today I authorized the Great Fannie Mae and Freddie Mac to prepare their businesses to recognize cryptocurrency as an asset to be used in a mortgage.

The policy, should it be adopted, would transform the traditional mortgage financing industry, which would possibly enable crypto owners to back their digital assets to gain access to financial services and housing for more people in the population. 

Bitcoin Inches Toward Record Highs, Technical Indicators Flash Bullish

Having dropped to a weekly low of the figure of $98,200 on Sunday, Bitcoin was able to achieve the psychological mark of the figure of a hundred thousand dollars and began an intensive recovery. On Wednesday, BTC was closed above the price of $107,000, and on Thursday, it was trading at around the price of $107,400, near its highest record of $111,980 on May 22.

In case of a break and steady hold of Bitcoin above that resistance line, technical analysis points out that the uptrend may continue with the next target of $120,000. Further analysis using the Relative Strength Index (RSI) indicates that RSI on the daily chart is at 56 at the current time, indicating that the bullish pressure is still above the neutral 50 value. 

Also, on Thursday, the Moving Average Convergence Divergence (MACD) indicator created a bullish crossing. This signal could also give additional backing to bullish momentum in the event of a confirmed close around intraday.

Traders must, however, be keen on the possibility of minor correctional setbacks. Unsuccessful break or market correction may pull BTC to one of the crucial supports located near the 50-day Exponential Moving Average (EMA) mean which is at the moment at $103,543.

Ethereum and XRP Continue to Grow

Ethereum is still on the positive side, maintains the same level, at about $2,451 on Thursday. The 100 and 200-period EMAs at 2,426 and 2,373 are offering robust levels of support on the 12-hour chart, respectively. On the resistive front, ETH has failed to move up above the 50-period EMA at 2481.

There was again another MACD buy signal set up, and this indicates that Ethereum might have an imminent breakout. The next upside targets are at 2,570, which was tested yesterday, and 2,882, which is a resistance formed on June 12, depending on continued optimism in the markets and risk-taking.

Ripple (XRP) is experiencing intensified selling pressure amid rising geopolitical tensions and prevailing macroeconomic uncertainties. Following a brief weekend surge from a low of $1.90, the token is currently trading near $2.14 as of Thursday, signaling technical vulnerability. This decline is further underscored by a weakening XRP/BTC trading pair, which has dropped to approximately 0.00001982, retreating sharply from its January high of 0.000034.

XRP/BTC Slides as Macro Factors Weigh on Sentiment

XRP/BTC is also plotting a clear bearish pressure as against an investor panic, on the basis of the news of the independence of the U.S. Federal Reserve slipping to 0.00001982 on the daily chart. 

The technical indicators give a bleak forecast for the XRP/BTC pair. The RSI has declined to 37, which is closer to the oversold territory. On top of this, there has been the creation of a death cross on June 12 when the 50-day Exponential Moving Average (EMA) crossed below the 200-day EMA, which further cements the bearish sentiment. Nonetheless, there are possibilities that certain analysts are looking forward to a bounce off the 0.00001900 support, which was last seen on Sunday.

Nonetheless, one needs to be cautious because there are bear trends involved. More importantly, the daily chart has developed a falling wedge formation, which in the past has implied a possible bullish reversal scenario. The trend is characterized by shrinking volume and contracting price action within converging trendlines, which means that selling momentum could be weakening, as buyers grow in strength.

Traders are keenly observing the possibility of breaking up on the upper trendline, and this would gain credit by showing more trading volume. In case the breakout is valid, the XRP/BTC pair will rise by almost 29 percent in anticipation of reaching the level of about 0.00002560. This action would reverberate to previous rallies witnessed during November, December, and January when XRP hit a high of 0.34 dollars.

Technical Signals Suggest a Pivotal Moment for XRP Price Action

The conditions of XRP on the market are not changing positively since the token is reaching important support at 2.09 after being denied access to a weekly high of about 2.22. Thursday was when a bearish signal materialized on the 4-hour chart, with a negative over-cross, as drivers illustrated by the Moving Average Convergence Divergence (MACD) signal line, i.e., the blue MACD line dives below the red signal line, portraying a risk-off signal.

What further supports the bearish story is that RSI is positioned below the horizontal level, indicating a surge in the selling pressure. This trend can be held in case the indicator enters oversold territory shortly, which indicates sustained depreciation.

The ability of XRP to recover the support at the $2.09 level will most definitely be determined by the mood of the markets. However, it is not unlikely that a drastic movement of the pair intends a low of the psychological price level of $2.00 occurs. Traders under such a condition might have to keep an eye towards lower support levels, including $1.90, which was tested on Sunday, and a greater correction area down at about $1.80 and $1.60, last seen in the month of April.

Meme Coins Slide as Broader Crypto Market Stabilizes Amid Geopolitical Strain

In June, the cryptocurrency markets were subjected to a sudden volatility that was triggered by an increase in geopolitical tension and global economic anxiety. Although Bitcoin (BTC) has been able to absorb part of the losses that it gained when Israel escalated its military campaign against Iran, the meme coin sector has not fared well, pushing the bearish trend to Thursday. Remarkably, Fartcoin (FARTCOIN), Pepe (PEPE), and Dogwifhat (WIF) reported new losses, further fuelling the retreat of the sector.

Meme coins lost 4.7 percent of their market value in the past 24 hours. On the contrary, the Bitcoins briefly hit a record of $108,000 on Thursday, and it appeared to be strong. Fartcoin and Dogwifhat were among the greatest losers, with an approximate 10 percent decline, and Pepe decreased by 7.5 percent.

Fartcoin Approaches Key Support as Death Cross Emerges

Fartcoin is currently valued at 0.96, which is a decrease of about 3 percent on the day. The Upside potential is limited beneath the 200-period exponential moving average (EMA) at 0.99 observed on the 12-hour chart. A bearish “death cross” structure, created when the 50-period EMA crossed below the 100-period EMA on Monday, indicates continued pressure in a downward direction, with FARTCOIN expected to go down to the nearby support ($0.80) that was last tested on Sunday.

Nevertheless, there is a future of recovery. The Relative Strength Index (RSI) is already increasing slightly past 42, indicating a possible change in the trend. An upside break in the 50 midline can trigger new bullish enthusiasm that might intensify should the token repeat the June 17 visit to the resistance area of $1.25.

Pepe Weakens as Traders Abandon Derivatives Positions

Pepe is still in the bearish zone as it dilapidates by almost 2 percent to 0.00000930. The token has trended down at about 43 percent since its May high of 0.00001632, a move that is indicative of lower interest by investors.

Based on the coin glass, PEPE’s future Open interest (OI) is now at 491 million, whereas long liquidations have easily doubled to 1.31 million over the last 24 hours compared to only 0.74 million short liquidations. Such a situation confirms the stable position of sellers.

Technical indicators also predict that more losses are on the cards. On the 12-hour chart, a death cross (in which the 50-period EMA crossed below the 200-period EMA) further assumes this bearish tone. Support areas of $0.00000750, which was last seen in early May, and $0.00000600, which was visited last month in April, are also under scrutiny by traders.

Dogwifhat Faces Heightened Bearish Pressure

Even Dogwifhat (WIF) seems not to be holding, and at the time of this writing, it is trading at 0.75 after a catastrophic fall of over 5 percent intra-day. This bearish pressure is aggravated by a decline of 8.4 % in Open Interest in futures markets to the current ratio of Open Interest of 334 million.

Successive long short liquidations have been caused by the downtrend in which the token has been trading since attaining a peak of 1.39 in May. Just within the past 24 hours, long positions sufficed to liquidate about 2 million dollars, and short positions have liquidated about 375,000.

The MACD has held negative of the zero line since June 12 and is in a position to trigger the sell signal, which is the process in which the MACD line crosses below the signal. This would worsen risk-off mood and pull the price down.

The notable technical areas in question are the centerline of the descending channel, the $0.60 demand area (last tested on Sunday), and the support area at the price of $0.51, which has been previously inspected in late May and early June, when the congestion of sellers picked up.

With meme coins still recording poor performances, traders have started rotating funds into more secure crypto assets as evidence of a careful market outlook due to the effects of external uncertainties.