Bitcoin and XRP traded sideways early in the week as investors assessed US economic developments and the Federal Reserve's (Fed) monetary policy trajectory.
Bitcoin Remains Within the $84,000–$88,000 Range
Bitcoin faced pressure after US ISM Services PMI data for September fell to 54.9 from 55.4 the previous month, signaling a slight slowdown in service sector growth.
At the time of writing, Bitcoin was trading at $86,059, up 0.35% since the opening of the Asian session on Tuesday.
However, inflationary pressure remains a concern, as the "Prices Paid" index rose to 74 from 72.6.
This situation could prompt the Fed to exercise greater caution when determining the direction of interest rates.
The market is now awaiting the FOMC meeting minutes and US CPI data for fresh clues regarding the Fed's monetary policy.
XRP Faces Declining Network Activity
For XRP, price recovery remains challenging as activity on the XRP Ledger slows down.
At the time of writing, XRP was trading at $1.5131, up 0.36% since the opening of the Asian session on Tuesday.
The number of daily active addresses currently hovers around 15,000, down approximately 50% from the six-month high of 30,000.
Meanwhile, inflows into spot XRP ETFs remain positive, with approximately $5 million recorded last week.
Although XRP ETFs have posted positive inflows for 12 consecutive weeks, this development has yet to generate strong upward momentum. Bitcoin has the potential to remain within the US$84,000 to US$88,000 range barring a clear breakout.
A rise above US$88,000 could strengthen momentum, whereas a drop below US$84,000 risks increasing selling pressure.
XRP still has room to move higher if it successfully breaks past US$1.60, though slowing network activity could limit momentum.
The US$1.45 level remains a key support.
