Bitcoin and Ethereum Surge as Dash Leads Altcoin Rally; US PPI Data in Focus

I. Crypto Market Overview

Key Takeaways

Macro Environment

US December CPI remains at 2.7%, reinforcing persistent inflation and reducing the likelihood of near-term Fed rate cuts. The Federal Reserve is expected to maintain a cautious stance, potentially dampening speculative crypto flows. Global regulatory shifts, including new US and Russian crypto bills, signal evolving compliance and cross-border investment landscapes.

Crypto Market

The crypto market rallied in the past 12 hours, led by Bitcoin (BTC) up 3.88% to $95,709 and Ethereum (ETH) up 5.57% to $3,321.63, driven by strong spot demand and ETF inflows. DASH (DASH) surged 35.5% on privacy coin interest and a major partnership, while PEPE (PEPE) rose 9.60% and Story (IP) gained 6.90%. Altcoins broadly outperformed, with privacy and meme sectors leading gains.

Today's Outlook

Key events today include the release of US December PPI data and international transaction figures, providing critical insights into inflation and global economic activity. The US Supreme Court will also rule on Trump-era tariffs, a decision that could impact market sentiment and cross-asset volatility.

Fear and Greed Index

0.00% Annual Percentile

41 Neutral

Total Crypto Market Cap

$3.23T

2.89%

Total Market Trading Volume

$154.55B

11.93%

Altcoin Season Index

54.55%

Quarterly Percentile

30 / 100

Total Futures Market Open Interest

3.25B

4.54%

Futures

674.63B

1.39%

Perpetuals

II. Industry Updates

Macro-economic Policies

The US December CPI held steady at 2.7% year-on-year, signaling persistent inflation. This stability reduces the likelihood of imminent Fed rate cuts, supporting a strong US dollar and potentially limiting short-term upside for BTC and DeFi liquidity.

US November PPI rose 3.0% year-on-year, exceeding expectations and highlighting ongoing producer-side inflation. Elevated input costs may pressure risk assets, including cryptocurrencies, as investors reassess inflation hedges and portfolio allocations.

The Federal Reserve is set to meet later this month to decide on interest rates. With inflation data remaining sticky, the central bank is expected to maintain a cautious stance, which could dampen speculative flows into crypto assets.

Accenture's 2026 banking trends report warns that stablecoins and tokenized deposits are rapidly eroding traditional bank deposit bases, accelerating the shift of liquidity into digital assets and potentially boosting DeFi and stablecoin market volumes.

President Trump's recent policy directives, such as capping credit card rates and urging defense firms to suspend dividends, have triggered volatility in US equity markets. This policy uncertainty may increase risk aversion, impacting BTC price stability and crypto market sentiment.

Cryptocurrency Regulatory Trends

The U.S. Senate Banking Committee is set to review a comprehensive new crypto market structure bill, signaling potential changes in regulatory oversight and compliance for digital asset firms.

Russia has finalized a draft bill to remove cryptocurrencies from its 'special financial regulation' category, aiming to allow regulated retail crypto investment and expand legal use in cross-border payments.

The UK government has abandoned plans for mandatory digital ID for workers after public backlash, but digital right-to-work checks remain, reflecting ongoing debates on digital identity and privacy in the crypto sector.

India's Enforcement Directorate has dismantled a major crypto fraud operation, seizing assets and freezing digital funds, highlighting increased regulatory enforcement and anti-money laundering actions in the region.

The Algorand Foundation has re-established its U.S. headquarters in Delaware amid a regulatory shift, reflecting renewed focus on U.S. blockchain compliance and institutional engagement.

DASH (DASH): DASH surged 35.5% in 24h, driven by renewed privacy coin interest, a major partnership with Alchemy Pay, and $1.15B trading volume.

Story (IP): Story (IP) rose 6.9% in 24h, with price stability amid broader market volatility, but lacked a clear major event or news catalyst.

PEPE (PEPE): PEPE jumped 14.8% in 24h as trading volume exceeded $1.1B, fueled by strong community engagement and a decisive reversal from recent lows.

Smart Money Movements

Strategy acquired $1.3 billion in Bitcoin, raising its total holdings to $66 billion and pushing Bitcoin's price above $95,000. The purchase was funded by selling over $1 billion in new company shares.

Spot Bitcoin ETFs recorded $754 million in net inflows in a single day, the highest since October, with BlackRock's IBIT leading at $127 million. This surge reflects renewed institutional demand.

A crypto whale closed a $14.49 million profit on long positions and switched to $35 million in 20x leveraged shorts on BTC, ETH, and SOL, signaling a bearish outlook among large traders.

Ethereum staking reached a record 36 million ETH, representing 30% of circulating supply and over $118 billion in value, driven by increased institutional participation and minimal selling pressure.

A whale swapped 282.17 BTC (about $26.33 million) for 8,098 ETH, highlighting significant asset reallocation among major holders in the crypto market.

Events to Watch

Jan 14 (Wed)

US December PPI data and international transactions will be released, offering key insights into inflation and cross-border economic activity; US Supreme Court to rule on Trump-era tariffs, potentially impacting markets.

Jan 15 (Thu)

Sei Network ($SEI) will unlock 55.56 million tokens; Connex Social ($CONX) will release 1.32 million tokens, both events may affect market liquidity and token prices.

Jan 17 (Sat)

Ondo (ONDO) will conduct a major token unlock, releasing $774 million worth of tokens, which could influence ONDO's market dynamics.

Jan 18 (Sun)

ONDO will unlock 1.94 billion tokens valued at $802.73 million, representing a significant increase in circulating supply.

Jan 19 (Mon)

Canada's CPI and China's Q4 2025 GDP data will be released, providing critical signals for global economic trends and potential market volatility.

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