Flipster Crypto Weekly (January 10)

January 10, 2025

The cryptocurrency markets saw a sharp downturn this week, influenced by both global economic shifts and key developments in the industry. U.S. 10-year Treasury yields surged near multi-year highs, while a stronger dollar added significant headwinds for risk-on assets like cryptocurrencies. The Federal Reserve also indicated a slower pace of future rate cuts amid heightened inflation risks, adding to the macro uncertainty.

These factors were further compounded by news that the U.S. government potential offload of 70,000 Bitcoin (BTC) (~$6.5 billion) seized from the Silk Road, adding pressure to the markets. 

Bitcoin (BTC)

Weekly performance: -3.29%

Year-to-date (YTD) performance: +0.39%

BTC sold off following news that the DOJ received approval to liquidate nearly $6.5 billion Bitcoin seized from the Silk Road darknet marketplace. BTC is currently holding at the $92K support level, a price point that will be closely monitored in the coming week for potential market direction.

Ethereum (ETH)

Weekly performance: -5.97%

Year-to-date (YTD) performance: -2.53%

Ethereum (ETH) dropped over 8% on Tuesday’s session, mirroring weakness across the broader markets. The decline pushed ETH below the $3,300 support level, a price point that previously held firm in December. Failure to reclaim this level could signal further downside, with the $3,000 mark emerging as the next potential support to watch.

Solana (SOL)

Weekly performance: -9.4%

Year-to-date (YTD) performance: -0.15%

Last week, Solana (SOL) encountered resistance at the 50-day moving average (MA) and the $218 price level. The altcoin has since retreated below its shorter-term MAs and is currently trading near the $183 support level, established during the final week of December.

Sui (SUI)

Amid this week’s market sell-off, SUI emerged as a standout performer, demonstrating resilience compared to other cryptocurrencies. Its relative strength was reflected in its price action, as SUI traded above both its short- and long-term MAs, even as many other tokens fell below their respective MAs. 

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.