The cryptocurrency market started the week in a noticeably weaker mood. Bitcoin is again testing levels below $92,000, although over the weekend its price temporarily rose to around $95,000. Most of the smaller cryptocurrencies are losing in the 5 to 6% range today, with Ethereum trading at $3100, nearly 30% below its local December peaks. Market sentiment indicates prevailing risk aversion, which is negatively reflected in the broader sentiment around cryptocurrencies.
- The U.S. Department of Justice may sell more than 69,000 BTC from Silk Road; however, it is still uncertain whether it will be able to do so in time for Trump's inauguration (January 20). Bitcoin ETFs have seen net outflows in recent sessions
- EURUSD loses 0.5% under pressure from the U.S. dollar, with yields on 10-year U.S. Treasury bonds settling around 4.8%. Wall Street indexes started the week with declines; the US100 loses 1.5% and the VIX volatility index rises nearly 6%
- Nomura says 2025 will bring wider adoption of Bitcoin ETFs by institutions, and cryptocurrencies will benefit from the new pro-Bitcoin administration in the US. Analysts expect a total of 12 new ETFs to debut this year
- Bernstein suggests that inflows into Bitcoin ETFs, in 2025, will be as high as $75 billion, compared to approx. $35 billion in 2024
- CryptoQuant analysts indicated that the future holds few cryptocurrency projects with strong, real-world utility in the economy
- The New York Digital Investment Group (NYDIG) indicates that pro-crypto-currency regulatory changes will take a long time, even if the Trump administration is very determined to implement them. Other pressing issues for the U.S. related to geopolitics, the budget, and tariffs may push the crypto topic into the background.
BITCOIN charts (H1, D1 interval)
Looking at BTC quotes, on the daily interval we see a formation resembling a RGR with a neckline and also an important support zone at the level of $90,000.
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The price of BTC is still in a medium-term uptrend channel, but a rebound from resistance at EMA50 (orange line) may indicate pressure to test EMA100 (black line, around $89k-$90k); such a scenario would at the same time indicate a possible realization of a 1:1 correction. With extreme negative sentiment, the market may test levels below $80k (EMA200, red line).
Source: xStation5
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