Crypto Market Slides as BTC, ETH Drop; Key Token Unlocks and Macro Data in Focus

I. Crypto Market Overview

Key Takeaways

Macro Environment

US economic data show resilience with lower jobless claims and a narrowing trade deficit, tempering expectations for aggressive Fed easing. India projects robust 7.4% GDP growth in FY26, supporting regional digital asset inflows. The US Senate advances comprehensive crypto regulation, boosting institutional confidence and likely increasing onshore capital flows.

Crypto Market

The crypto market saw broad declines over the past 12 hours, with BTC down 4.4% to $97,474 and ETH falling 9.3% to $3,144, pressured by ETF outflows and weak risk sentiment. Altcoins also dropped, with POL down 7.5% and XMR down 2.5%. LIT slipped 2.4%. Polygon (POL) led notable moves on recent token burns, while privacy tokens like XMR saw renewed interest after ZCash news. Institutional staking in ETH remains a key support factor.

Today's Outlook

Key events today include the release of China’s December CPI (0.8% YoY) and PPI (-2.0% YoY), US October trade balance, and Eurozone PPI and unemployment data. Major token unlocks for BGB and TRUMP may impact liquidity and volatility, with 140M BGB released for ecosystem use.

Fear and Greed Index

14.00% Annual Percentile

49 Neutral

Total Crypto Market Cap

$3.07T

2.68%

Total Market Trading Volume

$112.65B

17.72%

Altcoin Season Index

72.73%

Quarterly Percentile

24 / 100

Total Futures Market Open Interest

3.24B

18.20%

Futures

650.38B

22.58%

Perpetuals

II. Industry Updates

Macro-economic Policies

US Treasury Secretary Bessent has called for further Federal Reserve rate cuts to support economic growth, potentially increasing liquidity and risk appetite in crypto markets.

US initial jobless claims for the week ending January 3 totaled 208,000, below expectations, and the trade deficit narrowed sharply, signaling economic resilience that may temper expectations for aggressive monetary easing, impacting BTC and DeFi flows.

India's FY26 GDP growth is estimated at 7.4%, driven by strong services and manufacturing sectors, which could boost regional crypto adoption and capital inflows into digital assets.

Australian CPI eased to 3.4% in November 2025, but inflation remains above target; the RBA is unlikely to cut rates soon, maintaining a strong AUD and potentially limiting speculative crypto inflows from Australia.

Significant net inflows into US spot ETFs at the start of 2026 indicate renewed institutional interest, supporting higher BTC prices and improved sentiment across DeFi and NFT markets.

Cryptocurrency Regulatory Trends

The U.S. Senate has advanced a comprehensive cryptocurrency regulation bill, aiming to clarify asset classifications and mandate stablecoin reserve transparency, boosting institutional confidence and likely increasing onshore capital flows.

The SEC has delayed its decision on the Canary PENGU ETF, extending the review period to ensure compliance with regulatory standards, reflecting ongoing caution toward crypto-exposed ETFs and impacting investor sentiment.

The GENIUS Act continues to spark debate in Congress, with stablecoin yield provisions facing opposition from traditional banks, highlighting ongoing tensions between innovation and financial stability in U.S. crypto regulation.

Wyoming has launched the first state-backed stablecoin, FRNT, on the Solana blockchain, setting a precedent for government-issued digital assets and potentially influencing future federal stablecoin frameworks.

The SEC Crypto Task Force will meet with Miami crypto startups on January 27 to gather industry input, signaling a shift toward more collaborative, clarity-driven regulation and easing enforcement fears in the U.S. crypto sector.

Lighter (LIT): LIT surged 4.7% in 24h, driven by a protocol buyback program and $675M airdrop, with 24h volume at $30.8M and market cap $762M.

Polygon (POL): POL rose over 32% in 24h as Polygon burned 3 million POL in a single day and implemented daily deflation, boosting investor sentiment.

Monero (XMR): XMR gained 2.7% in 24h, supported by renewed interest in privacy tokens after ZCash controversy and $111M trading volume.

Smart Money Movements

BitMine staked an additional 109,504 ETH worth $344.4 million, bringing its total staked Ethereum to 908,192 ETH valued at $2.95 billion, signaling major institutional commitment.

SharpLink allocated $170 million in ETH to the Linea platform to enhance staking yields, leveraging Ethereum-native rewards and additional incentives from EigenCloud and ether.fi.

A whale transferred 30,000 ETH, valued at $92.8 million, from an unknown wallet to the Beacon Depositor, indicating significant on-chain positioning in Ethereum staking.

SOL Strategies increased its Solana holdings to 523,134 SOL, including 77,043 jitoSOL from staking 96,515 SOL, and earned 925 SOL in staking rewards in December.

SUI Group boosted its SUI token holdings to 108,098,436, valued at $196 million, and repurchased $15.75 million in shares, representing 8.8% of its issued shares.

Events to Watch

Jan 8 (Thu)

China releases December CPI (0.8% YoY) and PPI (-2.0% YoY); US Trade Balance for October (-$29.4B); Eurozone PPI and Unemployment Rate for November (0.5% MoM, -1.7% YoY, 6.3%).

Jan 8 (Thu)

US Nonfarm Productivity data for Q3 2025 is released, showing 4.9% growth; BGB and TRUMP tokens unlock, with BGB unlocking 140M tokens for ecosystem use.

Jan 9 (Fri)

US Non-Farm Payroll (NFP) report for December 2025 is released, expected to impact markets; US Non-Farm Employment Change data with a forecast of 66K.

Jan 10 (Sat)

Approximately $2.22 billion in Bitcoin and Ethereum options are set to expire, potentially increasing market volatility around the $90,000 BTC level.

Jan 13 (Tue)

Fogo Blockchain token launch, raising $13.5 million, marks a significant new project entry into the crypto market.

Table of Contents

I. Crypto Market Overview

Key Takeaways

Macro Environment

Crypto Market

Today's Outlook

II. Industry Updates

Macro-economic Policies

US Treasury Secretary Bessent has called for further Federal Reserve rate cuts to support economic growth, potentially increasing liquidity and risk appetite in crypto markets.

US initial jobless claims for the week ending January 3 totaled 208,000, below expectations, and the trade deficit narrowed sharply, signaling economic resilience that may temper expectations for aggressive monetary easing, impacting BTC and DeFi flows.

India's FY26 GDP growth is estimated at 7.4%, driven by strong services and manufacturing sectors, which could boost regional crypto adoption and capital inflows into digital assets.

Australian CPI eased to 3.4% in November 2025, but inflation remains above target; the RBA is unlikely to cut rates soon, maintaining a strong AUD and potentially limiting speculative crypto inflows from Australia.

Significant net inflows into US spot ETFs at the start of 2026 indicate renewed institutional interest, supporting higher BTC prices and improved sentiment across DeFi and NFT markets.

Cryptocurrency Regulatory Trends

The U.S. Senate has advanced a comprehensive cryptocurrency regulation bill, aiming to clarify asset classifications and mandate stablecoin reserve transparency, boosting institutional confidence and likely increasing onshore capital flows.

The SEC has delayed its decision on the Canary PENGU ETF, extending the review period to ensure compliance with regulatory standards, reflecting ongoing caution toward crypto-exposed ETFs and impacting investor sentiment.

The GENIUS Act continues to spark debate in Congress, with stablecoin yield provisions facing opposition from traditional banks, highlighting ongoing tensions between innovation and financial stability in U.S. crypto regulation.

Wyoming has launched the first state-backed stablecoin, FRNT, on the Solana blockchain, setting a precedent for government-issued digital assets and potentially influencing future federal stablecoin frameworks.

The SEC Crypto Task Force will meet with Miami crypto startups on January 27 to gather industry input, signaling a shift toward more collaborative, clarity-driven regulation and easing enforcement fears in the U.S. crypto sector.

Trending Tokens

Lighter (LIT): LIT surged 4.7% in 24h, driven by a protocol buyback program and $675M airdrop, with 24h volume at $30.8M and market cap $762M.

Polygon (POL): POL rose over 32% in 24h as Polygon burned 3 million POL in a single day and implemented daily deflation, boosting investor sentiment.

Monero (XMR): XMR gained 2.7% in 24h, supported by renewed interest in privacy tokens after ZCash controversy and $111M trading volume.

Smart Money Movements

BitMine staked an additional 109,504 ETH worth $344.4 million, bringing its total staked Ethereum to 908,192 ETH valued at $2.95 billion, signaling major institutional commitment.

SharpLink allocated $170 million in ETH to the Linea platform to enhance staking yields, leveraging Ethereum-native rewards and additional incentives from EigenCloud and ether.fi.

A whale transferred 30,000 ETH, valued at $92.8 million, from an unknown wallet to the Beacon Depositor, indicating significant on-chain positioning in Ethereum staking.

SOL Strategies increased its Solana holdings to 523,134 SOL, including 77,043 jitoSOL from staking 96,515 SOL, and earned 925 SOL in staking rewards in December.

SUI Group boosted its SUI token holdings to 108,098,436, valued at $196 million, and repurchased $15.75 million in shares, representing 8.8% of its issued shares.

Events to Watch

Jan 8 (Thu)

Jan 8 (Thu)

Jan 9 (Fri)

Jan 13 (Tue)

III. Phemex Market Focus

New Listings

Phemex Promotions