The value of Bitcoin (BTC) soared above $100,000 in the new year, maintaining its positive trend. On January 6, it climbed from a low of $98,760 to $102,413 before slightly dipping to its current price of $101,745. Over the past day, BTC has experienced an increase of nearly 2.5%, and its market capitalization now exceeds $2 trillion. The recent growth of Bitcoin is primarily due to increased institutional investment, less selling pressure, and expanding adoption.
Currently, Ethereum (ETH) has struggled a bit, falling slightly below its previous attempt to hold above $3,700, now trading near $3,670. On the other hand, AI-related tokens such as Render (RNDR), FET, and INJ have experienced significant increases of over 10%. The total cryptocurrency market capitalization is at present 1.25% higher, standing at approximately $3.58 trillion.
Bitcoin (BTC) Gets Institutional Boost
Bitcoin (BTC) is experiencing another surge that’s pushed its value above $100,000, leaving investors hopeful it could reach beyond $110,000. Market analysts attribute this upward trend to significant investments from institutional players, with MicroStrategy planning to raise a staggering $2 billion for additional Bitcoin purchases. The company aims to acquire $21 billion worth of BTC by 2026 and currently holds $44 billion in Bitcoin, which is bolstering investor confidence.
As a forward-thinking crypto investor, I’m eagerly anticipating MicroStrategy’s plans to potentially secure up to $2 billion in the first quarter of 2025. They aim to achieve this by offering perpetual preferred stock through public offerings.
Japan’s Metaplanet aims to acquire 10,000 Bitcoins by December 2025, as detailed in their recent plans. The CEO of the company attributes their success in becoming a key player in Bitcoin adoption to their strategic use of financial resources and partnerships. There has been a surge in inflows for Spot Bitcoin ETFs in the new year, indicating increased interest from investors. On January 3 alone, inflows amounted to $900 million, but trading volume remains relatively low.
AI Tokens Surge
AI-related tokens made a substantial stride towards a potential market value of $55 billion as industry analysts pointed to rising demand in 2025, indicating that the crypto AI sector will continue to be one of the hottest segments within the broader crypto landscape. The valuation of these AI tokens has climbed to approximately $54.6 billion following a 3% increase over the past day. Progress in cutting-edge projects such as OpenAI’s ChatGPT and NVIDIA (NVDA) have fueled global interest in artificial intelligence technology. Key players like Fetch.ai, Render (RNDR), and NEAR Protocol are driving this growth, while newcomers such as AI16z, a memecoin integrating AI themes with blockchain, are also gaining popularity.
Michael Barr Leaves Fed Vice Chair Role
On Monday, Michael Barr, the Federal Reserve’s second-in-command for supervision, chose to step down from his position, sparking optimism among crypto supporters who are hoping for more accommodating policies regarding cryptocurrency. Barr has announced that he will leave his role on February 28 but will continue as a member of the Federal Reserve Board of Governors. It appears that Barr’s departure was precipitated by conversations amongst advisors to President-elect Donald Trump, who were contemplating the possibility of stripping Barr of his position as Vice Chair for Banking Supervision. Such a move might have initiated a significant legal dispute and potentially undermined the Fed’s autonomy from the White House. In a statement, Barr stated that he will be departing.
The Vice Chair for Supervision role was established post-Global Financial Crisis to enhance responsibility, clarity, and accountability within the Federal Reserve’s oversight of the financial system. A potential disagreement concerning this position could divert focus from our primary goal. In the present circumstances, I find it more beneficial to serve the people of America effectively in my current role as governor.
Simultaneously, Senator Cynthia Lummis strongly criticized Barr over Chokepoint 2.0, accusing him of excessive control in the cryptocurrency sector.
“In every instance, Michael Barr has neglected his responsibilities as Vice Chair for Supervision, thereby allowing Operation Chokepoint 2.0 to continue and abusing his position by illegally expanding his authority, which adversely affects the digital asset sector in Wyoming.”
Bitcoin (BTC) Price Analysis
On Monday, Bitcoin (BTC) soared past the $100,000 mark, with its bullish New Year trend showing no signs of abating. Market analysts are optimistic that BTC might maintain its pace and surpass its previous high of $110,000, a notable price point. During the day, Bitcoin saw a rise of more than 3%, peaking at $102,560 before dropping back to its current value. The upward push is primarily fueled by increased institutional investment, with MicroStrategy securing $2 billion to buy more BTC. Similarly, companies like KULR Technology Group, CleanSpark, and Metaplanet have also boosted their Bitcoin holdings.
During the last week of December, Bitcoin (BTC) experienced significant selling pressure due to a predominant bearish outlook in the market. The price dipped below the 50-day Simple Moving Average (SMA) on December 27 and continued to decline over the weekend, reaching a low of $92,740 by Sunday, December 29. On Monday, BTC further dropped, extending its previous week’s decline by 0.91%. However, it didn’t stop there; BTC reached an intraday low of $91,279 before sentiment turned around on Tuesday. The positive momentum pushed the price up to an intraday high of $96,159, but still fell short of crossing the 50-day SMA and ended at $93,383, marking a 0.82% increase.
On Wednesday, buyers held the reins as Bitcoin climbed to $94,376 following a 1% growth spurt, fueling a strong bullish outlook. This optimism intensified significantly on Thursday, pushing Bitcoin past the $95,000 mark and the 50-day Simple Moving Average, ending the day at $96,822 after a 2.59% surge. The ascent continued on Friday, surpassing the 20-day SMA following a 1.09% rise to settle at $97,878. Over the weekend, buyers maintained control, with Bitcoin registering minimal increases of 0.21% on Saturday and 0.24% on Sunday to finish at $98,312. As the new week began, Bitcoin experienced a substantial increase of 3.98%, soaring past $100,000 to rest at $102,228. Market analysts are hopeful that Bitcoin can sustain its recent momentum and potentially reach $110,000. However, the current trading session has seen a slight dip, with Bitcoin hovering around $101,979.
Over the course of this year, Bitcoin (BTC) has demonstrated bullish behavior, but it’s important to note that there are potential threats looming. The Federal Reserve’s aggressive stance remains a concern for cryptocurrencies and other high-risk investments. Rising worries about inflation could significantly sway investor attitudes. Furthermore, the number of small transactions (less than $10,000) has decreased noticeably, indicating less retail involvement.
Ethereum (ETH) Price Analysis
Ethereum (ETH) experienced a slowdown in its upward trajectory around the $3,700 level, with selling pressure causing the price to dip from a peak of $3,744 on Monday. ETH’s previous week was marked by volatility as both buyers and sellers fought for control. This struggle led to an intraday low of $3,298 and an intraday high of $3,433 before settling at $3,358. On Tuesday, buyers propelled ETH to a new intraday high of $3,448, but momentum waned, causing the price to drop to $3,333, representing a 0.74% decrease. Buyers re-entered the market on Wednesday, pushing ETH up by 0.69% to $3,356. The buyers maintained control on Thursday as the price increased nearly 3% to $3,452. Confidence among bulls grew significantly on Friday, with ETH surpassing its 20 and 50-day Simple Moving Averages (SMAs) and $3,500, resulting in a 4.51% increase and closing at $3,607.
The initial part of the weekend saw Ethereum (ETH) showing a promising rise, gaining 1.37%, reaching $3,657. Yet, the upward trend slowed on Sunday due to resistance near $3,700, causing ETH to fall by 0.61% and settle at $3,634. On Monday, buyers re-entered the market, pushing ETH up by another 1.46%, reaching $3,687. Unfortunately, it couldn’t surpass the $3,700 mark again and has dipped 0.42% during this session, currently trading around $3,672.
Solana (SOL) Price Analysis
Similar to Ethereum, Solana (SOL) has halted in recent trading sessions following a roadblock around the $220 price mark. Initially starting the previous week on a favorable note amidst high volatility, SOL saw a nearly 1% rise and closed at $191. On Tuesday, the price climbed to an intraday peak of $199 as buyers aimed to breach the $200 barrier. However, progress halted at this level, causing a dip to $189, representing a drop of more than 1%. SOL rebounded by 2.62% on Wednesday and ended the day at $194 as investors re-entered the market. Optimism among investors intensified on Thursday when SOL surged past its 20-day moving average and $200, registering an increase of over 7%, closing at $208.
On Friday, buyers managed to keep control as SOL increased nearly 5% to reach $217. Yet, it slowed down during the weekend, decreasing by 0.56% on Saturday and 1.52% on Sunday, ending at $213. The new work week started favorably for SOL as it surged to a high of $223, briefly going over $220 and above the 50-day Simple Moving Average (SMA). However, it failed to maintain this level and fell back to $218, falling below the 50-day SMA. At present, sellers seem to be in charge, with SOL losing more than 1%. If the sellers continue to control the market, SOL might drop down to $200.
Algorand (ALGO) Price Analysis
During the early part of last week, Algorand (ALGO) showed considerable fluctuation due to a power struggle between buyers and sellers. However, the buyers managed to gain dominance, causing ALGO to rise 0.92% on Monday, reaching $0.328. The buyers continued their control on Tuesday, albeit with only a small increase in value to $0.333. On Wednesday, bullish feelings around ALGO intensified as it surpassed both the 20 and 50-day Simple Moving Averages (SMAs) following an almost 13% increase, settling at $0.376. Thursday witnessed a nearly 4% rise in price to $0.391 as buyers aimed to push ALGO above the $0.40 mark.
On Friday, ALGO experienced a significant rise of over 7%, crossing the $0.40 mark and reaching $0.418. Yet, it started losing speed during the weekend, dropping by 2% on Saturday and 1.32% on Sunday, ending at $0.405. The trend reversed on Monday as buyers re-entered the market, causing ALGO to increase by 2.47%, settling at $0.415. Currently, in the ongoing session, buyers aim to push ALGO past its resistance level. However, if the momentum of the buyers wanes, sellers might drive ALGO below the $0.40 mark.
Hedera (HBAR) Price Analysis
On Sunday (December 29), Hedera’s value (HBAR) dipped beneath its 20-day simple moving average, following a nearly 5% drop that ended at $0.279. The market saw a stalemate between buyers and sellers on Monday as HBAR experienced significant volatility, eventually settling at $0.278 after a minor decrease. Sellers regained control on Tuesday, causing the price to tumble by 3.55% to close at $0.268. Yet, on Wednesday, buyers reemerged, propelling HBAR over its 20-day SMA and up to $0.294. Attempts were made by buyers to push the price above $0.30 as HBAR peaked at an intraday high of $0.309 on Thursday, but momentum waned after reaching that level. Consequently, the value fell below $0.30 and ended at $0.292.
On Friday, a positive outlook for HBAR emerged as it climbed more than 7%, reaching $0.314. Yet, its momentum weakened on Saturday, causing a nearly 3% decline, resulting in $0.301. The downtrend continued on Sunday with a further decrease of 1.18%, leaving HBAR at $0.301 to end the weekend. However, on Monday, HBAR bounced back with an almost 2% rise, closing at $0.107. As we speak, in the current session, HBAR is up by more than 6% and trading near $0.327.
NEAR Protocol (NEAR) Price Analysis
Towards the end of December, NEAR Protocol experienced significant selling activity which caused its price to fall. On Monday, it dipped below the 200-day Simple Moving Average (SMA) and dropped about 2%, ending the day at $5.03. The sellers remained in control on Tuesday as NEAR declined nearly 3%, dropping below $5 and settling at $4.90. However, it rallied on Wednesday, surging over 7% and climbing back above the 200-day SMA to settle at $5.27. Buyers took charge on Thursday, pushing NEAR up by more than 3% to $5.44. On Friday, NEAR went above the 20-day SMA after a nearly 7% increase and finished the day at $5.81.
As a crypto investor, I observed that NEAR experienced a minor decline on Saturday, dropping to $5.78. However, optimistic buyers re-entered the market on Sunday, pushing NEAR up by 2% to $5.90. The cryptocurrency reached an intraday high of $6.23, but its momentum faltered at that level due to the 50-day Simple Moving Average (SMA) acting as a dynamic resistance level. Consequently, NEAR dropped from this level to close at $6.01, marking a nearly 2% increase. In the current session, NEAR is down slightly more than 1%, trading at $5.95. Sellers are trying to push the price below $6, while buyers aim to push toward the 50-day SMA.
Arbitrum (ARB) Price Analysis
In the recent trading sessions, Arbitrum (ARB) has shown significant optimism, surpassing crucial resistance points and moving averages. This bullish trend for ARB occurred even after it experienced a slight dip at the beginning of the previous week, dropping 1.24% to $0.731. On Tuesday, sellers maintained control, causing ARB to decline nearly 2%, ending the day at $0.72. However, on Wednesday, ARB bounced back from this level, rising by approximately 3.40% and closing at $0.735. Buyers held the upper hand on Thursday as ARB recorded a rise of more than 4%, finishing the session at $0.775.
On Friday, there was a significant boost in optimistic feelings towards ARB as it surpassed its 20-day Simple Moving Average (SMA), rising 7.55% and closing at $0.834. The following day, the price went beyond the 50-day SMA, climbing more than 7% to settle at $0.895. On Sunday, ARB continued its upward trajectory, concluding the weekend with a 2.44% increase. The subsequent week started off with ARB experiencing high volatility due to a power struggle between buyers and sellers. By the end of the week, ARB recorded a slight increase and settled at $0.919. As the current trading session begins, ARB is down by 1.31% as sellers aim to push it below the 50-day SMA.
Read More
- 15 Charged for converting Drug Cartels’ Cash into Cryptocurrency in U.S.
- XRP Price Eyes $2 Support Level Amidst Market Correction
- PYTH PREDICTION. PYTH cryptocurrency
- OREO Unveils Six New Products for 2025
- Google’s Willow Quantum Chip Sparks Bitcoin Security Debate
- ‘Fast and Furious’ Star Paul Walker Remembered 11 Years After His Death
- Apple Lands Anya Taylor-Joy Led Drama ‘Lucky,’ Based on Bestseller
- Russell T Davies Says He “Kind Of Hopes” The Streaming Bubble Will “Pop”
- ‘Brides’ Finds a Distributor in Neon for Latest New Vampire Horror Movie
- India signals no fixed timeline for crypto rules, calls for global alliance
2025-01-07 16:10