Bitcoin
The price of Bitcoin has remained almost unchanged over the past two weeks. However, it cannot be said that BTC was exclusively sideways. Thus, on January 7, the first cryptocurrency was trading above $102,000, but then the rate corrected.
Source: tradingview.com
The main reason for the fall in Bitcoin was statistics in the United States – economic data on employment turned out to be higher than expected. Yes, quantity open vacancies amounted to 8.1 million against the expected 7.7 million, and the index of business activity in the services sector was 54.1, instead of the predicted 53.3.
Positive labor market statistics show the strength of the economy, which may keep the US Federal Reserve from further cutting rates. This, in turn, may curb investors’ appetite for risk, in particular, investing in cryptocurrencies.
Bitcoin is also declining due to sales carried out by a large investment company, BlackRock. Yes, according to data analytical platform Arkham, on December 26, BlackRock sold $188.7 million worth of BTC, and another $1.88 billion was transferred to the Coinbase crypto exchange.
At the same time, the number of small Bitcoin holders has reached its maximum. So, according to analytical platform Glassnode, at the beginning of the year there were over $37 million of wallets with balances from $100 to $1,000. Such statistics may indicate growth popularity of the first cryptocurrency among users.
From the point of view of technical analysis, Bitcoin has been trading for a month and a half in a wide range between resistance ($108,364) and support ($90,742) levels. The absence of a trend is confirmed by the fall of the ADX indicator. But the price decline below the 50-day moving average (indicated in blue) indicates that there is a predominance of sellers in Bitcoin.
Source: tradingview.com
Fear and Greed Index fell by 24 points compared to the indicator two weeks ago – its current value is 50. This indicates neutrality in the sentiments of crypto investors, which has developed between fear and greed.
Ethereum
Ethereum’s performance over the past two weeks has been very similar to Bitcoin. The decrease over this period turned out to be insignificant – 1.86%. But on January 6, the cost of ETH was 15% higher than now, and amounted to $3,744.6.
Source: tradingview.com
The decline in Ethereum, like Bitcoin, is largely explained by statistical data in the United States. However, there is another strong reason for the fall in the value of the second cryptocurrency – the actions of large players.
Already at the beginning of 2025, a non-profit organization from Switzerland, the Ethereum Foundation, which focuses on promoting Ethereum, sold 100 ETH for 329,463 DAI. According to the organization, the deal is aimed at promoting research and development (R&D) projects. Considering that demand Ethereum price is still quite low, even such a small transaction can have a fairly strong impact on the price.
Negative dynamics are also developing in spot ETFs on ETH. Looking at the last seven trading sessions, cash outflows were observed on four occasions. On January 8, $159.34 million was withdrawn from spot exchange-traded funds into ether, the second-largest capital exodus since ETF trading began. A larger outflow of funds was observed only on July 26, 2024 – then it amounted to $162.67 million.
Source: sosovalue.com
According to technical analysis, there is a predominance of sellers on air. The fact that the price is below the 50-day moving average (indicated in blue) also speaks in favor of the bears. In addition, the RSI dropped below 50, which also indicates a downward trend. A change in bullish sentiment may occur if the resistance level of $3,744.6 is overcome. The support level remains at $3,005.8.
Source: tradingview.com
Cardano
The Cardano cryptocurrency, unlike Bitcoin and Ethereum, was even able to grow by 6.19% over the past fourteen days. But the price action was not much different from larger cryptocurrencies: a peak above $1.15 was reached on January 7, followed by a correction.
Source: tradingview.com
There has been quite a lot of positive news about Cardano lately. Thus, its founder Charles Hoskinson on January 8 spoke about the further fate of the Hydra protocol, which caused a stir in December 2024. Then, when using it, a throughput of over 1 million transactions per second was achieved. Now Hoskinson wants bring Hydra from gaming tests to real everyday applications.
In addition, on January 9, the collaboration between Cardano and FC Barcelona was officially announced. Information about the interaction of the crypto giant with one of the most famous sports teams in the world leaked back at the end of 2024. But it came out to the broad masses only with fasting Cardano Foundation CEO Frederick Gregaard:
“FC Barcelona and Cardano are teaming up to drive fan engagement and create global opportunities. Together we will build Barca Vision’s Web3 initiatives that empower fans. The interaction will: create career opportunities for young Barça fans, support education in blockchain technology, reward fans with digital assets such as NFTs and ADA. Also through the Andamio platform on Cardano, fans will be able to: learn valuable skills, work on real Barca projects, earn NFTs and rewards for contributions. It’s not just about football – it’s about transforming fans into agents of change.”
One of the funds of asset management company Grayscale Investments, Grayscale Digital Large Cap Fund (GDLC), announced the results of a rebalancing carried out in the fourth quarter of 2024. As a result, Avalanche was excluded from the portfolio and Cardano was added. Number of ADA tokens from total assets amounted to 1.44%.
From a technical analysis perspective, Cardano is currently dominated by bears. This is confirmed by indicators: the price has dropped below the 50-day moving average (marked in blue), and the MACD histogram has moved into the negative zone. Current support and resistance levels: $0.76163 and $1.15123, respectively.
Source: tradingview.com
Conclusion
Thus, cryptocurrencies have a strong start to 2025. The first week of January was positive, but then strong statistics on the labor market in the United States came out, which became the main reason for the start of sales in the crypto market.
This material and the information contained herein do not constitute individual or other investment advice. The opinion of the editors may not coincide with the opinions of analytical portals and experts.
Source: Bits
I am an experienced journalist, writer, and editor with a passion for finance and business news. I have been working in the journalism field for over 6 years, covering a variety of topics from finance to technology. As an author at World Stock Market, I specialize in finance business-related topics.
