Market Overview
The crypto market remained under pressure throughout Wednesday and early trading Thursday, losing around 4% of its capitalization to $3.08 trillion on the day. The market once again confirmed its cautious sentiment, moving away from the upper limit of the consolidation range of the last eight weeks. The decline in stock markets created an unfavorable environment and cryptocurrencies were unable to move from a rebound mode after the decline to a full-fledged recovery.
dipped below $90,000 on Thursday morning after the bears took the lead late in the day on January 5. At its lowest point, BTC approached the 50-day moving average, above which it climbed earlier this year. The end of the week will provide an answer to the question of whether this curve has become a support level or whether we witnessed a false breakout at the start of the year.
News context
Bitcoin could hit a new high this year, said Bill Miller, chief investment officer at Miller Value Partners. According to him, the main players on Wall Street are once again showing interest in the asset.
Institutional investors are once again buying more Bitcoin through ETFs than miners mine each day, notes analyst Charles Edwards. On-chain demand is still low, but there are signs of liquidity returning to Binance.
The main catalyst for growth in the new year will be crypto neobanks, not speculative traders, according to Ether.fi. Such platforms are capable of attracting many more crypto users than spot ETFs.
On January 7, Ethereum developers implemented the Blob Parameter-Only (BPO) fork on mainnet, which increases the BLOB limit from 15 to 21. This will allow more transactions to be processed simultaneously, increasing the efficiency of the blockchain without the direct risk of overload.
announced that it has no plans to go public, despite Wall Street valuing it at $40 billion. Ripple’s strong institutional backing and overall treasury size have virtually eliminated the need for additional funding.
Privacy is a key feature necessary for the development of global finance on blockchain, which is why it will become a major focus of the crypto industry in 2026, according to a16z crypto.
The FxPro analyst team
