Market Update

Why did the cryptocurrency market rise today? Are XRP, Bitcoin, and institutional interests driving this rally?

The total market capitalization of cryptocurrencies rose by about 2% over the past 24 hours, reaching approximately $3.63 trillion as of Thursday, January 16, during the early European session. As Bitcoin (BTC)’s correlation with traditional stock markets continues to decline, and with what is long overdue Donald Trump’s inauguration approachesThe cryptocurrency market has now surpassed Apple Inc. (NASDAQ: AAPL) in terms of valuation.

Bitcoin price It has risen 3% over the past 24 hours, briefly surpassing the $100K mark before retreating to around $99.4K at the time of writing. Ripple Labs’ XRP led the altcoin market with impressive gains, raising hopes for an upcoming altcoin season.

Here’s everything that’s brewing.

What is driving the cryptocurrency market recovery?

Short press to encrypt

After the opening of the Bitcoin price on Monday in Dragonfly Doji candlestickbullish sentiment gained the upper hand. In the past 24 hours, more than $346 million has been liquidated from the crypto-leveraged market, most of which were short traders.

As more sellers turn into buyers, the emergence of a strong short squeeze has driven bullish sentiment for cryptocurrencies.

Renewed interest from whale investors

Both institutional and retail traders have shown renewed interest in cryptocurrencies following a strong rebound over the past two weeks. According to CoinShares data, digital asset investment products saw $48 million in inflows last week, with Bitcoin, Ethereum, and XRP leading the way.

Bitcoin ETFs in the US It saw net cash flow of $755 million on Wednesday, reversing losses from the previous four days. Ether spot ETlettuce It also recorded net inflows of $59 million, ending a four-day drought.

US economic news fuels optimism about cryptocurrencies

the Cryptocurrency market The price gradually gained upward momentum driven by high-impact news from the US. Ahead of President Donald Trump’s long-awaited inauguration, US inflation data showed a calming effect, adding to optimism about a possible interest rate cut later this month.

In addition, there is increasing support for National Bitcoin Reserve. Texas Senator Charles Schwertner has introduced a bill to create a strategic reserve for Bitcoin, and Oklahoma Representative Cody Maynard has done the same in his state. These moves reflect growing institutional support for Bitcoin.

Don’t miss any opportunity in the world of cryptocurrencies!

Stay on top of the latest breaking news, expert analysis, and real-time updates on the latest trends in Bitcoin, altcoins, DeFi, NFTs, and more.

With Bitcoin and other cryptocurrencies gaining momentum, it’s clear that the market is gearing up for something big – and hopefully another strong bull run!

Frequently asked questions

What’s up with cryptocurrency today?

Cryptocurrency prices rose today due to a short squeeze, whale investor interest, and positive US regulation ahead of Trump’s inauguration.

Why did Bitcoin rise today?

Bitcoin rose more than 3% on strong bullish sentiment, short squeeze, and institutional support, briefly surpassing the $100,000 mark.

Why is ETH rising today?

The price of Ethereum is rising due to renewed interest from institutional investors and positive market trends, including increasing ETF inflows.



http://image.coinpedia.org/wp-content/uploads/2025/01/16183118/Why-Crypto-Market-is-Up-Today-Bitcoin-Hits-100K-XRP-Leads-Altseason.webp

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button