As 2026 gets underway, Bitcoin demonstrated considerable price strength by climbing past the $90,000 threshold prior to the weekend. This move occurred despite data indicating notable net outflows from both spot Bitcoin and Ethereum exchange-traded funds (ETFs) during this initial trading week.
Specifically, Bitcoin’s price settled around $89,771.74, while Ethereum traded near $3,104.24. Other leading cryptocurrencies such as Solana, XRP, Dogecoin, and Shiba Inu also recorded positive price movements. Solana was priced at approximately $130.98, XRP near $1.98, Dogecoin at $0.1386, and Shiba Inu at roughly $0.058101.
Market statistics further outline the ongoing dynamic environment facing traders. Data from Coinglass shows that over the preceding 24-hour span, around 105,578 traders incurred liquidations totaling approximately $381.05 million. This underscores the high volatility characterizing cryptocurrency markets at the start of the year.
Meanwhile, SoSoValue reported net outflows totaling $348.1 million from spot Bitcoin ETFs on Wednesday alone, with spot Ethereum ETFs seeing net withdrawals of $72 million. These ETF outflows reflect a degree of investor caution or repositioning amid current market conditions.
In contrast to the leading cryptocurrencies’ gains, certain digital assets suffered declines within the past day. Among the most significant losers were meme tokens Pepe, Floki, and Pudgy Penguins, representing a divergence in market performance.
Looking ahead, several developments are capturing investor and analyst attention. Contrary to expectations of a robust surge, one prediction from Polymarket suggests that Bitcoin, Ethereum, and XRP are unlikely to rally by 20% in January. However, Ripple’s executive comments on XRP hint at potential upside within 2026, causing some renewed interest in the token.
Geopolitical factors also intersect with the crypto space; reports reveal Iran’s exploration of cryptocurrency payments to navigate sanctions and fuel arms trade despite ongoing economic challenges. Concurrently, other regulatory and legal updates, such as presidential pardons for several crypto-related felons and litigation outcomes involving prominent figures like Mark Cuban and the Dallas Mavericks, continue to influence market sentiment.
On the investment front, notable figures such as Anthony Scaramucci are placing their altcoin bets on projects including Solana, Avalanche, and tokens previously misjudged, signaling the evolving landscape of cryptocurrency preferences for 2026.
From a technical analysis standpoint, early indicators suggest that Bitcoin entered the year under a Pi Cycle "death cross" pattern. Historically, this signal gains significance later in the cycle, aligning with halving-cycle theory expectations that categorize 2026 as a bear-market year. This scenario is not inherently negative, as prolonged corrections often provide fertile ground for accumulation and set the stage for future gains.
Crypto chart analyst Ali Martinez draws parallels with events from early 2022 when Bitcoin lost support below its 50-week simple moving average (SMA), briefly retested this level as resistance, then declined sharply. A similar technical setup today could potentially lead to a price rebound toward approximately $103,000 before a subsequent downturn, possibly reaching the $42,000 zone.
Complementing these observations, Crypto GodJohn, another market participant, noted that a preferred strength-versus-weakness gauge is on the verge of shifting from negative to neutral or positive for the first time in over a month, suggesting a nascent improvement in momentum.
Additionally, the Coinbase premium – an indicator reflecting demand disparity between Coinbase and other exchanges – is approaching positive territory after experiencing significant selling pressure through December. This shift signals a renewed pickup in U.S.-based spot demand and bolsters near-term market sentiment.
As investors navigate this mix of technical signals, geopolitical developments, and liquidity movements, the outlook for cryptocurrencies in 2026 appears complex, with opportunities interspersed amid prevailing risks.