The crypto market has gotten off to a flying start to 2025, recovering from recent losses as investor optimism returns. Bitcoin (BTC) crossed $95,000, reaching an intraday high of $97,721 before registering a marginal drop and dropping to its current level of $96,712. The asset is up almost 2% over the past 24 hours. Ethereum (ETH) is up by 1.40%, while Ripple (XRP) is up by 3% as it looks to push towards $3.
With investor optimism returning, almost all cryptocurrencies registered substantial gains, including Solana (SOL), Dogecoin (DOGE), Cardano (ADA), Avalanche (AVAX), Toncoin (TON), Stellar (XLM), Hedera (HBAR), and others. The crypto market cap jumped 1.90% and currently sits at $3.41 trillion.
Should Crypto Rein In Expectations?
Crypto investors are going into 2025 with huge expectations following Donald Trump’s victory in the US elections. Stakeholders now want access to the global banking system and an end to lawsuits against major crypto companies by the United States Securities and Exchange Commission (SEC). Expectations of a Bitcoin strategic reserve have also boosted market sentiment. However, the crypto community could be disappointed as geopolitics plans to take its own course.
The European Union has cracked down on crypto with new rules requiring large stablecoins that facilitate trades in Bitcoin (BTC), Ethereum (ETH), and other crypto assets to park 60% of their reserves in bank accounts. According to Paolo Ardoino, Tether Holdings Ltd. Chief Executive, believes such a high level of exposure could create a systemic risk. However, non-compliance with the EU’s mandate could make USDT, the world’s largest stablecoin, inaccessible to European investors.
Countries in Asia also have their own plans for blockchain and crypto. China and Russia want to use blockchain to counter the Dollar’s hegemony and the idea of decentralized finance (DeFi). With so many factors to consider, 2025 could become a tumultuous year for crypto.
BTC Could Hit $135,000 In 2025
A Russian expert claimed that Bitcoin (BTC) could hit $135,000 in 2025, while another stated that it could become a “super currency” for Moscow. The claims of BTC reaching $135,000 were made by Evgeny Shatov. However, Shatov believes a slowdown could come after BTC reaches this level, with a consolidation phase expected later in the year.
“Bitcoin is making a smooth move into the distribution zone. And altcoin season is starting on the market. A range of scenarios are now potentially possible. But, most likely, the growth of the bitcoin price in the first half of the year will slow down.”
He also noted that BTC’s dominance index stands at almost 57%, increasing by almost 7% since the beginning of the year.
“Apparently, this phase has come to an end. And the index will continue to fall against the backdrop of an increase in the number of altcoins and growth in their total capitalization. For comparison: in 2017, this index fluctuated around 90%. And during 2021, it fell from 60% to 40%. As such, the market is gradually entering a phase of altcoin growth.”
Moscow’s Crypto Pivot
Russia’s crypto pivot looks set to continue in 2025, with columnist Olga Samofalova stating the country had found a super currency in Bitcoin. Samofalova stated that Russia urgently needed a currency for cross-border payments following sanctions by the United States and other Western nations. While discussing the digital ruble, the columnist noted that it could be tracked the same way as non-cash currencies, adding it was impossible to track BTC transactions, allowing Russia to evade sanctions.
“However, Bitcoin is a super currency in this regard. Bitcoin does not depend on the Russian Central Bank, or any other central bank, or on the policies of the US Federal Reserve or the White House. It is issued through mining according to a pre-established algorithm and without the intervention of any central bank. How can sanctions be imposed here? There’s no way. In terms of bypassing sanctions, Bitcoin simply has no equal.”
January To See Major Token Unlock
According to data from Tokenomist, the crypto industry faces approximately $7 billion in token unlocks in January. Token unlocks gradually release tokens into the market and prevent sell-offs by early investors and team members. However, it still has a substantial impact on prices. January will witness a mix of cliff unlocks and steady releases. Cliff unlocks are large one-time releases, while linear unlocks distribute the tokens throughout the month.
The first week of the month will see $1 billion worth of unlocks, with another $3.7 billion to be unlocked between January 13 and 19. The market has already seen the unlock of 64.19 million SUI tokens worth $270 million on January 1. ZetaChain also unlocked 54 million ZETA tokens worth $42 million to fund growth initiatives and advisory roles. Other significant unlocks set to occur in January include Kaspas (182.23 million), Ethena (12 million), Optimism (31.34 million), Solana ($14M worth of tokens daily), Worldcoin ($12.4M worth of tokens daily), Celestia ($5.1M worth of tokens daily), Avalanche ($4.02M worth of tokens daily), and Polkadot ($2.94M worth of tokens daily).
Bitcoin (BTC) Price Analysis
The crypto markets have started the year on a bullish note, with Bitcoin (BTC) surpassing $95,000 after witnessing a considerable decline at the end of 2024. After finding support around $92,000, BTC bulls are aiming for the $100,000 mark again. If the support level holds and BTC continues its current rally, it will retest the $100,000 level again. A successful close above this level could see the asset retest its all-time high, set in December, and potentially push on to $110,000.
Looking at the price chart, BTC dipped to $95,691 on Thursday after registering a substantial drop of almost 4% from the 20-day SMA. Buyers attempted a recovery on Friday but were unsuccessful, as sellers took control, pushing BTC below the 50-day SMA and $95,000 to $94,827. BTC recovered on Saturday as the price rose by 0.89% and settled at $95,077. However, it could not move past the 50-day SMA, falling back into the red on Sunday and dropping almost 2% to $93,477.
Source: TradingView
Sellers retained control on Monday as BTC started the current week with a drop of 0.91% and settled at $92,625. Bullish sentiment returned on Tuesday as BTC surged to an intraday high of $96,159. However, it lost momentum after being rejected at the 50-day SMA thanks to considerable selling pressure. As a result, BTC dropped back to $93,383, registering an increase of 0.82%. Buyers retained control on Wednesday, rising just over 1% and settling at $94,373. Thursday saw buyer activity increase as BTC rose by 2.60% and settled at $96,823. However, it could not go above the 50-day SMA as buyers lost momentum. The current session sees BTC down by almost 1%, trading around $95,998.
If sellers retain control BTC could drop to the $92,000 support level. If the price recovers from this level, it could retest the $100,000 level. If it continues to push higher, we could see a retest of its all-time high.
Ethereum (ETH) Price Analysis
Ethereum (ETH) has been trading in a narrow range since Wednesday after failing to move past the 50-day SMA. As a result, ETH registered a substantial drop on Thursday, dropping almost 5% and settling at $3,333. Buyers attempted a recovery on Friday as ETH rose to an intraday high of $3,436 before losing momentum. As a result, ETH dropped to $3,331, registering a marginal drop. The price recovered on Saturday, registering an increase of 2.14% to go above $3,400 and settle at $3,402. However, it was back in the red on Sunday, dropping by 1.46% and settling at $3,352.
Source: TradingView
ETH experienced considerable volatility on Monday as buyers and sellers struggled to establish control. As a result, the price reached an intraday high of $3,433 and dropped to an intraday low of $3,298 before settling at $3,358. However, buyers lost momentum on Tuesday despite reaching an intraday high of $3,448, dropping by 0.74% and settling at $3,333. ETH recovered on Wednesday, rising by 0.68% to $3,356. Bullish sentiment intensified on Thursday as ETH registered an increase of 2.83% to reach an intraday high of $3,505 before settling at $3,451. With the 20 and 50-day SMAs acting as resistance, ETH is back in the red during the ongoing session, down almost 1% and trading around $3,450.
Solana (SOL) Price Analysis
Solana (SOL) finally surged past $200 on Thursday as bullish sentiment picked up, with buyers now eying the $220 price level. SOL was quite bearish leading up to the current week, falling to $184 on Friday. However, it made a strong recovery on Saturday, registering an increase of over 6% and settling at $195. Sunday saw sellers return to the market as SOLl dropped almost 3% and settled at $189. SOL experienced considerable volatility on Monday as buyers and sellers jostled for control. As a result, SOL fell to an intraday low of $185 and rose to an intraday high of $196 before settling at $191, an increase of 0,72%.
Source: TradingView
SOL reached an intraday high of $199 on Tuesday as buyers attempted to surpass $200. However, they fell short as SOL lost momentum, allowing sellers to take control. As a result, SOL fell just over 1% and settled at $189. Buyers returned to the market on Wednesday, with SOL registering an increase of 2.62% and settling at $194. Bullish sentiment intensified substantially on Thursday as SOL rocketed past $200 and the 20-day SMA, registering a rise of 7.26% and settling at $208. The current session sees SOL marginally down as buyers and sellers struggle to establish control.
If sellers retain control, SOL could dip below $200. On the other hand, if buyers regain control and push above $210, SOL could retest the resistance at $220. A break above this level could see a jump toward $250.
Chainlink (LINK) Price Analysis
Chainlink (LINK) failed to go above the 20-day SMA last week, losing momentum after reaching $25.42 on Tuesday. As a result, sellers took over, pushing the price down by almost 4% on Wednesday to $24.42. Selling pressure grew on Thursday as LINK fell over 7% and settled at $22.66. LINK attempted a recovery on Friday as it rose to an intraday high of $23.64. However, it lost momentum after reaching this level and fell almost 5% to $21.54. The price recovered on Saturday, rising just over 2% and moving to $21.97 before dropping by 4.70% on Sunday and ending the weekend at $20.94.
Source: TradingView
Sellers retained control as LINK began the current week, falling 1.74%, going below the 50-day SMA, and settling at $20.57. The price continued to drop on Tuesday, slipping below its support level and settling at $19.99. However, it recovered on Wednesday to register an increase of 8.55% to reclaim $20 and go above the 50-day SMA to settle at $21.70. Buyers retained control on Thursday, pushing LINK up by 1.64% to $22.05. The current session sees LINK down 1.30% as sellers look to drive it below the 20-day SMA and the $20 support level.
Algorand (ALGO) Price Analysis
Algorand (ALGO) was quite bearish last week after failing to go above $0.40 on Tuesday. As a result, sellers took over on Tuesday, driving the price down just over 4% on Wednesday to $0.380. Sellers retained control on Thursday as ALGO fell over 9% and settled at $0.346. Buyers attempted a recovery on Friday as ALGO rose to an intraday high of $0.346 before losing momentum and dropping almost 4% to $0.333. The price recovered on Saturday, increasing by 3.15% and settling at $0.344. However, it was back in the red on Sunday, dropping by 5.43% to go below the 50-day SMA and settle at $0.325.
Source: TradingView
The current week began with ALGO experiencing considerable volatility as sellers attempted to drive it lower while buyers attempted to reclaim lost ground. Buyers ultimately gained the upper hand, pushing the price up almost 1% to $0.328. ALGO remained positive on Tuesday despite experiencing volatility, rising 1.70% and settling at $0.333. Bullish sentiment intensified considerably on Wednesday, surging almost 13% to go above the 20 and 50-day SMAs and settling at $0.377. Buyers retained control on Thursday, rising nearly 4% and settling at $0.391. The current session sees ALGO up over 4% and trading around $0.410.
Internet Computer (ICP) Price Analysis
Internet Computer (ICP) dropped below the 50-day SMA on Thursday after registering a drop of almost 8% and settling at $10.30. Sellers retained control on Friday, thwarting an attempted recovery and driving the price down by just over 1% to $10.19. ICP recovered on Saturday, registering a rise of almost 5% and moving to $10.67. However, it was back in the red on Sunday, dropping nearly 5% and settling at $10.14. ICP faced significant volatility on Monday as buyers and sellers attempted to establish control. Sellers ultimately gained the upper hand and pushed ICP down by 1.28% to $10.01.
Source: TradingView
ICP slipped below $10 on Tuesday, falling to $9.87 after a drop of 1.40%. However, it recovered on Wednesday, surging over 6% to reclaim $10 and settle at $10.48. Buyers retained control on Thursday as ICP registered an increase of 1.81% to settle at $10.67, just short of the 20-day SMA. ICP has gone above the 20-day SMA and $11 in the current session and is up almost 5% to trade around $11.16. If buyers retain control, we could see ICP test the resistance at $11.50 and go above the 50-day SMA.
Ethena (ENA) Price Analysis
Ethena (ENA) is struggling to go above the 20-day SMA as it faces considerable resistance at this level. ENA dipped below the 20-day SMA on Wednesday after registering a decline of 2.84% and settling at $1.02. Selling pressure intensified substantially on Thursday as ENA dropped by 9.50% to go below $1 and settle at $0.927. Buyers attempted a recovery on Friday as the price rose to an intraday high of $0.993. However, it lost momentum after reaching this level and dropped by 2.34% to $0.906. The weekend began with a sharp recovery as ENA rose over 4% to $0.946. Despite a positive showing on Saturday, ENA was back in the red on Sunday, registering a marginal drop to end the weekend at $0.944.
Source: TradingView
The current week began with ENA surging to an intraday high of $1.02 before settling at $0.953. It was back in the red on Tuesday, dropping over 5% and settling at $0.905. However, bullish sentiment returned on Wednesday as ENA registered an increase of almost 6% and moved to $0.958. ENA continued to push higher on Thursday, rising nearly 8% to reclaim $1 and settle at $1.03. The current session sees ENA up almost 1%, trading above the 20-day SMA at $1.04.
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.
