Cryptocurrency Market Update: Bitcoin Price Approaches $97K, Ethereum Drops Below $3.4K Amid Mixed Signals

Bitcoin It maintains a price just below $97,000, while Ethereum’s price has fallen below $3,400.

Despite these minor declines, the first week of January was largely bullish for the cryptocurrency market, as it recovered from the decline seen at the end of 2024.

Altcoins outperform with strong gains

Altcoins have been the best performers so far in 2025. Stellar (XLM) is up 26%, Injective (INJ) is up 24%, and Cardano (ADA) has posted a 19% gain, all extending their impressive weekly rises.

📊Bitcoin is just under $97,000, while Ethereum is at just under $3.4,000. The first week of January still mostly sees a bullish recovery for cryptocurrencies fading towards the end of 2024. Altcoins like Stellar (+26%), Injective (+24%), and Cardano (+19%) look to continue their strong weeks. pic.twitter.com/pk8ffLQwO1

— Santiment (@santimentfeed) January 8, 2025

The Ethereum Foundation will make its first sale in 2025

The Ethereum Foundation recently made its first ETH sale in 2025, selling 100 ETH for 329,463 DAI. This follows its activity in 2024, where the institution sold 4,466 Ethereum for $12.61 million at an average price of $2,823. Historically, such sales have been preceded by significant price declines, raising questions about future market movements.

The Ethereum Foundation has just done its first project $ Ethereum Sale in 2025: 100 $ Ethereum For 329,463 $DAI.

In 2024, they sold a total of 4,466 ETH for $12.61 million at an average price of $2,823, mostly before the sharp price decline.

He follows @spotunchain And set alerts for #Ethereum Foundationthe next… https://t.co/JCcswAee76 pic.twitter.com/Go4JQY9LfE

– Spot on Chain (@spotonchain) January 8, 2025

The Ethereum Spot ETF is seeing a significant outflow

On January 7, Ethereum ETFs recorded a net outflow of $86.79 million. Currently, the total NAV of Ethereum ETFs is $12.28 billion. This decline in ETF holdings may indicate caution among institutional investors despite the broader recovery in the cryptocurrency market.

On January 7, the total net outflow of the Ethereum Spot ETF reached US$86.7917 million. Currently, the total NAV of the Ethereum Spot ETF is $12.281 billion. https://t.co/Tvs2oCS03I pic.twitter.com/NMORy0Oe3j

— Wu Blockchain (@WuBlockchain) January 8, 2025

What’s next for cryptocurrencies?

As Bitcoin and Ethereum face resistance near their current levels, investors are closely monitoring signals that could dictate the next move. The strong performance of altcoins, coupled with institutional activity in both Bitcoin and Ethereum, indicate a mix of optimism and caution. Reclaiming key levels like $100k for Bitcoin and $3.6k for Ethereum will be crucial to maintaining bullish momentum into 2025.

Disclosure: This is not trading or investment advice. Always do your research before purchasing any cryptocurrency or investing in any services.

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