Bitcoin News: Key Factors Influencing Crypto Markets in the Coming Week

As Bitcoin experiences significant volatility, dropping from $106,000 to under $100,000 before rebounding to a new all-time high of over $109,000, the crypto market is bracing for potential influences in the week ahead. Key events include Donald Trump’s inauguration on Jan. 20 and the closure of U.S. traditional markets for Martin Luther King Jr. Day. Additionally, last week's better-than-expected Core CPI data has temporarily eased inflation fears, boosting investor confidence. This article delves into three critical factors that could further shape the cryptocurrency markets in the coming days.

3 Things That Could Further Influence Crypto Markets in The Week Ahead

Digital assets experienced significant volatility, with BTC dropping from $106,000 to under $100,000 before rebounding to a new all-time high of over $109,000. The market's attention is now focused on Donald Trump’s inauguration on Jan. 20, coinciding with the closure of U.S. traditional markets for Martin Luther King Jr. Day. Last week's better-than-expected Core CPI data had initially eased inflation fears, boosting investor confidence and market performance. However, these gains seem to be unraveling as the new week begins, despite the crypto market's recovery and new peaks.

Bitcoin: Why BTC needs to hold above $100K, explained

Bitcoin must stay above $100K for the uptrend to continue. BTC has experienced a slight pullback over the past day, dropping by 2.55%. After experiencing a sustained uptrend to hit $106K over the past day, Bitcoin [BTC] has retraced. In fact, at the time of writing, BTC was trading at around $102K. This marked a 2.55% decline on daily charts. Prior to this drop, Bitcoin had been on an upward trajectory, hiking by 8.85% on weekly charts. CryptoQuant analyst Crazyyblock suggested that Bitcoin must hold above the $100K support level, and here’s why. According to Crazyyblock, Bitcoin must hold above $100K because the profitability of current holders now hinges on maintaining this level. A failure to hold this critical psychological level could result in panic selling.

BTC Price Nears $110K Amid Trump Bitcoin Reserve Speculation

Bitcoin (BTC) surged to a new all-time high of $109,356 on Bitstamp, driven by speculation that President-elect Donald Trump might create a Bitcoin reserve within his first 100 days in office. This speculation, which saw a 60% probability spike on Polymarket, contributed to an 8% daily gain in BTC price. The market also experienced broad volatility, with the weekly close dipping below $100,000 amid confusion and suspicious activities related to a controversial memecoin associated with Trump. Traders are now navigating the risks of trading at these unprecedented price levels.

Top 3 Cryptocurrencies That Could Rally This Week

The cryptocurrency market experienced a brief recovery over the last weekend, with Bitcoin (BTC) reclaiming the $106,000 level before falling to just above $102,000. The global market cap has decreased by 3.9% in the last 24 hours to $3.69 trillion. The market has faced two significant corrections over the last two months, influenced by the Federal Reserve's hawkish stance on inflation and better-than-anticipated US jobs data, which cast doubt on early interest rate cuts.

4 Economic Events to Influence Bitcoin Sentiment This Week

Bitcoin (BTC) remains above the $100,000 mark, with its support level dependent on upcoming economic data. Key events include Donald Trump's inauguration on January 20, which is expected to bring industry-favoring executive orders. Trump's pro-crypto stance during his campaign has fueled speculation about positive regulatory shifts, potentially impacting Bitcoin sentiment.