Flipster Crypto Weekly (January 17)
Bitcoin dipped below $90k earlier this week, marking its lowest point since December, before recovering to almost $102k. The rebound coincided with core inflation data in December decelerating to 0.2% from 0.3% in November, marking its first year-over-year slowdown since July and anticipation surrounding President-elect Donald Trump’s upcoming inauguration, which adds momentum to market sentiment.
Altcoins also saw significant movement, with XRP rallying over 30% amid speculation that it could feature in a potential U.S.Strategic Crypto Reserve alongside Solana, and USD Coin. Other standout performances included MORPHO (+40.28%) and F (+26.19%), as traders respond to shifting dynamics across the board.
Bitcoin (BTC)
Weekly performance: +9.09%
Year-to-date (YTD) performance: +8.15%
After a significant decline of over 5% earlier this week to the $90,000 level, Bitcoin (BTC) rebounded as buyers stepped in to provide strong support. This intraday reversal highlights $91,000 as a support level, with substantial buying interest evident at this price point.
Following the release of better-than-expected U.S. inflation data on Wednesday, BTC has climbed back above its 50-day moving average (MA), signaling renewed optimism in the market. Additionally, with the upcoming inauguration of a pro-crypto administration, this shift in political leadership could be the catalyst to propel the broader cryptocurrency market forward.
Ethereum (ETH)
Weekly performance: +4.63%
Year-to-date (YTD) performance: +1.11%
Ethereum (ETH) found support at its 200-day MA following a sharp 10% intraday decline on Monday. By the latter part of the week, ETH staged a strong recovery, regaining momentum. Currently, the second-largest cryptocurrency by market capitalization is trading above its 10-day MA. However, it faces overhead resistance from a descending trendline, a level where traders have been selling over the past few weeks.
Solana (SOL)
Weekly performance: +14.59%
Year-to-date (YTD) performance: +11.96%
Speculation that Solana (SOL) is among the few cryptocurrencies being considered for inclusion in the U.S. strategic reserve has brought renewed attention to SOL. The crypto closed above its 50-day MA for the first time in a month, signaling a potential shift toward positive momentum. Additionally, following Monday’s decline, SOL has formed a double-bottom pattern, a technical pattern often associated with bullish reversals.
Ripple (XRP)
Ripple (XRP) surged higher this week, solidifying its position as one of the best-performing major cryptocurrencies. With its price trading above key MAs and the MAs trending upward, XRP is firmly in an uptrend. Since the November election, the cryptocurrency has recorded an impressive gain of over 500%. However, XRP faces speculation that President-elect Trump criticized Ripple for its alleged support of Kamala Harris during the recent election, which could pose a potential headwind for the cryptocurrency if confirmed.
Disclaimer: This material is for information purposes only and does not constitute financial advice. Flipster makes no recommendations or guarantees in respect of any digital asset, product, or service. Trading digital assets and digital asset derivatives comes with significant risk of loss due to its high price volatility, and is not suitable for all investors.