Macro Overview
- US Unemployment Rate: Came in at 4.4% vs expected 4.5%, slightly bearish for the market.
- US Weekly Unemployment Claims: Came in lower than expected, also a slight bearish signal for the short term.
- US ISM Services PMI: Came in higher than expected, which is bearish for the crypto market.
- US Job Openings: Came in lower than expected, slightly bullish for the market.
- US ISM Manufacturing PMI: Came in lower than expected, which is a positive sign for the market
Crypto Markets Overview
- Market Movement: This week, the crypto market experienced a -2.50% fall, bringing the total market capitalization to $3.06 trillion. Notably, BTC saw a fall of -2.22% and ETH saw a fall of -2.15%. Bitcoin’s dominance stands at 59.11%, while Ethereum’s holds at 12.27%.
- Tether Freezes $182M in USDT in Largest Single-Day Action: Tether has frozen approximately $182 million worth of USDT across five Tron blockchain wallets on January 11, marking one of the largest single-day freeze actions to date. The funds, held in balances ranging roughly from $12M to $50M per wallet, were blocked using Tether’s administrative controls as part of its wallet-freezing policy aligned with compliance and law enforcement requests. Tether has previously cooperated with agencies including the U.S. Department of Justice and FBI to combat illicit activity, having frozen more than $3 billion in USDT across thousands of addresses since late 2023.
- BNY Mellon Launches Tokenized Deposit Service: BNY Mellon has launched a tokenized deposit service that lets institutional clients hold U.S. dollar deposits as digital tokens on a permissioned blockchain. These deposits remain fully backed by cash at the bank while enabling near-instant, 24/7 settlement. The service operates within existing regulatory and risk frameworks and was developed in close coordination with regulators, bridging traditional banking with blockchain-based finance.
Top Altcoins Update
- ZEC Slides as Zcash’s Core Developer Team Resigns: Zcash token ZEC fell over 15% after the entire Electric Coin Company (ECC) team, the main developer group behind Zcash, resigned on Jan. 7 following a dispute with its nonprofit parent board. CEO Josh Swihart said employment terms were changed in a way that prevented the team from working effectively. While the Zcash network remains operational, the departing developers plan to form a new company and build a new Zcash wallet, raising fresh concerns around governance and long-term development.
- Optimism Proposes Monthly OP Token Buybacks: The Optimism Foundation has proposed a plan to use 50% of Superchain revenue for monthly OP token buybacks to better align the token with ecosystem growth. Over the past year, the Superchain has generated 5,868 ETH (~$18 million), all held in the governance treasury. If approved, the move aims to strengthen the link between network usage, revenue, and OP token value.
- Pump.fun Revamps Creator Fees Amid Surge in Token Launches: Pump.fun is changing its creator-fee model after finding that earlier incentives encouraged low-risk token creation rather than active trading. Co-founder Alon Cohen said the old system boosted launches and activity but didn’t improve trader behavior. The update comes as daily token launches hit their highest level since September, with the platform refocusing incentives toward traders, which it calls the core of its ecosystem.
“Big Picture: Upcoming Weeks Key Economic Events”
| DATE | TIME | EVENT | USUAL EFFECT |
| Jan 13 | 7:00 PM | US CPI y/y | Actual less than Forecast is good for crypto |
| Jan 14 | 7:00 PM | US PPI m/m | Actual less than Forecast is good for crypto |
| Jan 15 | 7:00 PM | US Unemployment Claims | Actual greater than Forecast is good for crypto |
Bitcoin Technical Analysis
Summary:
- The current sentiment around BTC is Bearish.
- Bitcoin consolidated and failed to break above the key $94k level. Price tested this zone and is now moving lower. With macro data also leaning bearish, the short-term outlook remains weak. We expect a near-term correction before the next leg up.
- Key support levels to consider are around $83,800 and $75,000. On the upside, resistance level is at $93,800 and $99,200.
- It is advisable to evaluate potential entry points around the mentioned support levels for long entries and at resistance levels for short entries. Additionally, setting limits to manage potential losses is prudent.
- For profit-taking, strategically selling near the outlined resistance levels/support levels is a recommended approach. Always exercise caution and implement sound risk management practices in trading endeavours.
Ethereum Technical Analysis
Summary:
- The current sentiment around ETH appears Neutral.
- ETH remained range-bound following BTC’s move. The short-term outlook is uncertain, with price action suggesting sideways movement or a possible mild downside.
- Significant support levels include $2826 and $2630, while resistance level to watch is at around $3310 and $3900.
- These levels play a crucial role in determining potential price movements. It is advisable to evaluate potential entry points around the mentioned support levels for long entries and at resistance levels for short entries. Additionally, setting limits to manage potential losses is prudent.
Solana Technical Analysis
Summary:
- The current sentiment around SOL is Sideways to Bearish.
- SOL outperformed BTC and ETH but failed to break the key $144 resistance. Price action is currently choppy, and it is likely to consolidate further before a decisive move above this major level.
- Key support levels to consider are around $128 and $121. On the upside, resistance level is at $144 and $154.
It is advisable to evaluate potential entry points around the mentioned support levels for long entries and at resistance levels for short entries. Additionally, setting limits to manage potential losses is prudent. - For profit-taking, strategically selling near the outlined resistance levels/support levels is a recommended approach. Always exercise caution and implement sound risk management practices in trading endeavours.
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