The cryptocurrency market shows resilient rebound at the start of 2026, with Bitcoin leading mainstream crypto assets

Entering the first week of January 2026, the cryptocurrency market as a whole has strengthened, with Bitcoin and several mainstream assets showing a significant recovery from the deep corrections at the end of 2025. After a cumulative decline of about 6% in the closing phase of last year and failing to meet the traditional "four-year cycle" expectations, Bitcoin regained the key psychological level of $90,000 on January 4.

Analysis indicates that the $88,000 area successfully formed strong support in the low liquidity environment during the holidays, combined with the return of funds into spot ETFs, shifting market sentiment from "panic" to "cautiously optimistic." As of Monday morning, Bitcoin was trading above $92,000, with the 100-hour moving average maintaining a bullish structure, and the next important resistance level pointing to $95,000. The stabilization of Bitcoin has also had a positive effect on the overall market, with assets like Ethereum and XRP experiencing slight rebounds, and institutional funds beginning to rebalance for the new fiscal year.

On the macro level, slowing inflation and the resilience of the U.S. economy are significant tailwinds. Although the halving rally of 2025 did not materialize as expected, the market structure has shifted to be dominated by institutional funds, with volatility and emotional trading significantly decreasing. The expansion of stablecoins linked to U.S. Treasuries is seen as an important channel for international funds to flow back into the crypto system.

Looking ahead to 2026, most analysts maintain a medium to long-term optimistic outlook, believing that under the backdrop of continued institutional allocation and tightening supply available on exchanges, Bitcoin is expected to gradually move towards the $120,000 - $150,000 range. In the short term, the market may still experience fluctuations in January, but as long as the price holds above the key support level of $91,500, the path to challenge historical highs in the first quarter remains open.