Crypto Price Analysis 1-9 BITCOIN: BTC, ETHEREUM: ETH, SOLANA: SOL, CARDANO: ADA, APTOS: APT, INTERNET COMPUTER: ICP, FILECOIN: FIL

Bitcoin (BTC) continued to drop for a second day as it slipped below $95,000 on Wednesday, falling to a low of $92,911 before recovering and moving to its current level of $94,442. The flagship currency is down almost 3% over the past 24 hours, as the crypto market lost $320 billion. BTC’s drop comes despite spot Bitcoin ETFs defying bearish sentiment and registered inflows of around $52 million. 

Meanwhile, Ethereum (ETH) showed resilience, dropping only around 1.50% despite registering a substantial drop on Tuesday. The world’s second-largest cryptocurrency is trading around the $3,300 level. Ripple (XRP) was one of the few assets that defied the market’s bearish trajectory as it registered a marginal increase, buoyed by its partnership with Chainlink (LINK). With the crypto markets in the doldrums, its market cap has dropped almost 2% to $3.32 trillion. 

Bitcoin (BTC) Slump Could Set Stage For Rally Near Trump Inauguration 

Bitcoin (BTC) saw a substantial decline as it dropped below $95,000 after resilient US job figures sent risk assets spiraling. The US Labor Department’s JOLTS report showed around 8.1 million job vacancies, significantly more than the anticipated 7.74 million. The numbers led to a risk-off atmosphere in the markets and sent bond yield upwards and a decline in risk assets like BTC. According to QCP BTC’s decline stemmed from liquidations of around $206 million in an hour. The volatility also reached the traditional markets, with the S&P 500 and Nasdaq witnessing significant volatility. 

The response of the traditional markets highlights BTC’s interconnectedness with the wider financial market, especially during economic uncertainty. Meanwhile, spot Bitcoin ETFs have registered a 94% decline, falling from $987 million to $52.9 million. However, BlackRock’s IBIT remained the exception, registering $596 million in investments and bucking the trend of outflows witnessed across all ETFs. Meanwhile, Ark and 21Shares registered significant outflows, with over $210 million withdrawn from the ARKB Fund. 

QCP also highlighted the upcoming Federal Open Market Committee (FOMC) decision and the Non-Farm Payroll (NFP) data, which could substantially impact BTC’s price. However, the firm also stated the recent decline could be temporary, and markets could see a substantial rally when Donald Trump takes office. 

“With market anticipation building, we believe bitcoin’s pullback is merely a pause, setting the stage for a bullish rally as Trump’s inauguration fuels optimism.”

SEC Must Work On Crypto Regulation 

Gary Gensler, the outgoing chair of the Securities and Exchange Commission (SEC) believes there is a lot of work to be done in regulating altcoins and intermediaries in the crypto market. Gensler stated that regular investors still don’t receive adequate disclosures or information from digital asset firms. Gensler’s SEC tenure has been marked by enforcement action against several crypto players ranging from fraudsters to significant crypto names like Coinbase and DRW Holdings. 

Gensler announced he would step down as SEC Chair on January 20, when President-elect Donald Trump takes office. Trump has nominated Paul Atkins as SEC Chair. Atkins is known for his pro-crypto views and is widely expected to tone down enforcement action against crypto firms and take a favorable view of the industry. Gensler pointed out that his predecessor, Jay Clayton, who led the agency during the first Trump administration, brought 80 crypto-related cases. The agency under Clayton cracked down on companies issuing tokens that were deemed securities. However, Gensler focused on market intermediaries flouting compliance with securities laws for registration and disclosure. Gensler also believes a majority of crypto projects will not survive. 

“I’ve never seen a field that’s so much wrapped up in sentiment and not so much about fundamentals.”

Bitcoin (BTC) Price Analysis 

Bitcoin (BTC) continued to slide as concerns about rising bond yields and the Federal Reserve monetary policy continued to mount. BTC went from a recent high of $102,668 to a low of $92,546 as macroeconomic factors turned against risk assets like BTC. The flagship currency plummeted over 5% on Tuesday and nearly 2% on Wednesday, slipping below key moving averages and support levels. If sellers continue to dominate, BTC could give up the gains since the beginning of January and drop to $90,000. BTC is down nearly 1% during the current session, hitting a low of $93,512. 

BTC was bullish as the new year started, registering an increase of just over 1% on Wednesday (January 1) and settling at $94,376. Bullish sentiment increased substantially on Thursday as BTC surged past the 50-day SMA to an intraday high of $97,661. However, it could not stay at this level and ultimately settled at $96,882, registering an increase of 2.59%. BTC faced considerable volatility on Friday as buyers and sellers struggled to establish control. As a result, the price dropped to an intraday low of $95,604 and rose to an intraday high of $98,832 before settling above the 20-day SMA at $97,878. Sellers retained control over the weekend as BTC registered marginal increases on Saturday and Sunday to settle at $98,309.

Source: TradingView

BTC registered a surge in bullish sentiment on Monday as it went past $100,000 and settled at $102,228 after registering an increase of almost 4%. However, sentiment changed on Tuesday as the price plummeted over 5% to slip below $100,000 and the 50-day SMA to settle at $97,019. Bearish sentiment persisted on Wednesday as BTC fell below the 20-day SMA and dropped to an intraday low of $92,546. However, it recovered from this level to reclaim $95,000 and settle at $95,121, ultimately registering a drop of 1.96%. The current session sees BTC down by almost 1% as market sentiment continues to weigh down the price. Some analysts, like Katie Stockton, a top technical analyst at Fairland Strategies, have warned investors to brace for a potential double-digit drop in BTC prices, suggesting the asset has been massively overbought in its latest bull run. The analyst believes BTC will find support around $84,000, implying a drop of 13%.

Ethereum (ETH) Price Analysis

Ethereum (ETH) has stemmed its recent decline during the current session as it attempts to rebound from the $3,300 level. ETH was quite bullish during the previous week but lost momentum after failing to stay above the resistance at $3,700. Despite registering a marginal drop on Tuesday (December 31), ETH started the new year positively, registering an increase of 0.69% on Wednesday. ETH continued to push higher on Thursday, rising by almost 3% and settling at $3,452. Bullish sentiment registered a substantial increase on Friday as ETH went above the 20 and 50-day SMAs and $3,500 to settle at $3,607, an increase of 4.51%.

Source: TradingView

ETH registered an increase of 1.37% on Saturday and moved to $3,657 as selling pressure began to spike. ETH lost momentum on Sunday as it dropped by 0.61% to $3,634 but recovered on Monday to register an increase of 1.46%, reaching an intraday high of $3,744 before settling at $3,687. Market sentiment changed on Tuesday as ETH plummeted over 8% to slip below the 20 and 50-day SMAs and settle at $3,381. Sellers retained control on Wednesday as the price dropped to an intraday low of $3,209 before settling at $3,327. The current session sees ETH marginally up as buyers and sellers struggle to establish control. If sellers take control, ETH could slip below $3,300 and drop towards $3,000. On the other hand, if buyers retain control, it could go above the 20-day SMA.

Solana (SOL) Price Analysis

Solana (SOL) has failed to reclaim $200 as sellers continue to lower the price during the ongoing session. SOL was relatively bullish until recent sessions but lost momentum after failing to move above the 50-day SMA. The price registered an increase of almost 3% on Wednesday and moved to $194, starting the new year positively. Bullish sentiment registered a substantial rise on Thursday as SOL surged over 7% to move past the 20-day SMA and $200 to settle at $208. Buyers retained control on Friday, helping SOL register an increase of almost 5% and move to $217.

Source: TradingView

However, with the 50-day SMA coming into play, SOL lost momentum over the weekend, dropping 0.56% on Saturday and 1.52% on Sunday to settle at $213. The current week began with SOL reaching an intraday high of $223 before settling at $218, an increase of 2.30%. However, it dropped substantially on Tuesday, falling by 7.38% and settling at $202. SOL slipped below $200 on Wednesday, falling to an intraday low of $188. However, it recovered from this level to go above the 20-day SMA and settle at $197. The current session sees SOL down almost 2%, slipping below the 20-day SMA and trading around $194.

Cardano (ADA) Price Analysis

Cardano (ADA) registered a substantial jump on Wednesday as it started the new year on a bullish note, registering an increase of 9% and settling at $0.92. Buyers retained control on Thursday as ADA went past the 20-day SMA, rising over 4% to $0.96. Bullish sentiment registered a substantial increase on Friday as ADA surged over 13% to go above the 50-day SMA and $1 to settle at $1.08. However, momentum waned on Saturday as ADA dropped by 1.56% to $1.07. The price recovered on Sunday, rising almost 2% and settling at $1.09.

Source: TradingView

The current week began with ADA experiencing volatility as buyers and sellers struggled to establish control. ADA ultimately registered a marginal increase before registering a substantial drop of over 9% on Tuesday to slip below the 50-day SMA and $1 to settle at $0.99. Sellers retained control on Wednesday as ADA faced significant volatility, ultimately registering a drop of over 4% and settling at $0.94. The current session sees ADA down by almost 2%, trading around $0.92, having slipped below the 20-day SMA.

Aptos (APT) Price Analysis

Aptos (APT) rebounded from a low of $8.41 on Wednesday to register an increase of 3.48% and move above $9 to settle at $9.01. Buyers retained control on Thursday as APT rose almost 3% to $9.27. Bullish sentiment registered a substantial increase on Friday as APT registered a rise of 5.48% to move past a key resistance level and settle at $9.78. APT remained positive over the weekend, registering an increase of 2.14% on Saturday and 1% on Sunday to go above the 20-day SMA and $1 and settle at $10.09.

Source: TradingView

The current week began with APT facing considerable selling pressure as it fell to an intraday low of $9.81. However, it recovered from this level to register an increase of 0.85% and settle at $10.17. Sentiment changed on Tuesday as markets turned bearish. As a result, APT dropped over 5% to slip below $10 and settled at $9.65. Bearish sentiment intensified on Wednesday as APT slipped below the 20-day SMA and fell to an intraday low of $8.64 before settling at $9.01, a drop of almost 7%. The current session sees APT down just over 2% and trading around $8.82 as sellers look to drive it below the 200-day SMA.

Internet Computer (ICP) Price Analysis

Recent bearish sentiment has seen Internet Computer (ICP) slip below $11 as sellers continue to dominate the markets. Despite ending 2024 in the red, ICP started the year positively, registering an increase of over 6% on Wednesday to go above $10 and settle at $10.48. ICP continued to go higher on Thursday, rising by 1.81% to $10.67. Bullish sentiment intensified substantially on Friday as ICP surged over 16% to go above the 20 and 50-day SMAs and settle at $12.40. However, it lost momentum after reaching this level, dropping 0.81% on Saturday and 1.46% on Sunday to end the weekend at $12.12.

Source: TradingView

The current week began with ICP witnessing considerable volatility as buyers and sellers struggled to establish control. As a result, ICP rose to an intraday high of $12.52 and fell to an intraday low of $11.83 before ultimately settling at $12.21. However, market sentiment changed on Tuesday as ICP dropped almost 10% to slip below the 50-day SMA and settle at $11.02. Sellers retained control on Wednesday as ICP fell to an intraday low of $10.37, briefly going below the 20-day SMA before recovering and settling at $10.87. The current session sees ICP down almost 4% as sellers look to drive it below $10.

Filecoin (FIL) Price Analysis

Filecoin (FIL) has registered a sharp drop over the past few sessions and has almost given up all of its gains since the beginning of the year. FIL registered an increase of over 3% on Wednesday to go above $5 and settle at $5.10. The price continued to push higher on Thursday, increasing just over 4% to $5.30. Bullish sentiment picked up on Friday as FIL rose almost 7% to move above the 20-day SMA and settle at $5.66. The price faced a marginal wobble on Saturday but recovered on Sunday to go above the 50-day SMA after an increase of almost 5% and settle at $5.91

Source: TradingView

Buyers retained control on Monday as FIL surged to an intraday high of $6.29. However, it could not stay at this level and dropped to $5.99, ultimately registering an increase of 1.20%. FIL registered a significant decline on Tuesday as markets turned bearish, dropping almost 11% to go below the 50-day SMA and settle at $5.35. Sellers retained control on Wednesday as FIL slipped below the 20-day SMA and settled at $5.11. The current session sees FIL down just over 2% as buyers look to drive it below $5.

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

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