The overall cryptocurrency market is on the rise, with some significant changes in prices, sentiment, and capital flows.

Bitcoin (BTC): approximately $93,583 - $94,138
Ethereum (ETH): approximately $3,228 - $3,277
Market Cap Performance: The total market capitalization has risen to about $3.29 trillion, with 97 of the top 100 tokens increasing in value.
Sentiment Indicator: The “Crypto Fear and Greed Index” has shifted from “Fear” to “Neutral” for the first time in months.
ETF Capital Flows: The US spot Bitcoin ETF has seen net inflows exceeding $1 billion in the first two trading days of 2026, indicating a return of institutional funds.
Today's rally is driven by several factors:
1. Oversold rebound and sentiment recovery: Bitcoin was severely oversold at the end of 2025, and the current rise is a technical “reflective rebound.” The market sentiment index has returned to “Neutral,” indicating the panic has dissipated and the market is entering a consolidation transition.
2. Continued institutional inflows: Persistent strong inflows into spot Bitcoin ETFs are a key fundamental factor supporting the price increase.
3. Geopolitical rumors: Over the weekend, the arrest of Venezuela’s former President Maduro sparked market speculation about the possibility that the government holds hundreds of billions of dollars in “shadow Bitcoin reserves.” Although unconfirmed and warned to be approached with caution, it still added topics and volatility to the market.
4. Technical breakout: Bitcoin’s price has, for the first time since the market correction in October last year, risen back above the 50-day moving average, which is seen by technical analysts as an important signal of a short-term trend reversal.
Capital flow shifts: Market hotspots have shifted from meme coins lacking fundamentals to tracks with practical use cases. Notably, AI concept tokens performed especially well, such as Render Network (RENDER), which surged about 20% in 24 hours.
Important technical event: The Ethereum Layer 2 scaling network Starknet experienced about 4 hours of downtime on January 5, during which block production completely halted. This is the second major failure within four months for this network, and the development team has deployed emergency fixes.
Focus points for the coming days:
Ethereum plans to upgrade to BPO2 on January 7, aiming to increase data capacity and potentially reduce Layer 2 network costs.
The release of macroeconomic data such as US non-farm employment figures may influence the overall trend of risk assets. $BTC $XRP