Bitcoin and leading altcoins are off to a strong start to 2026, the recovery in the cryptocurrency market is being shaped by a combination of new year positioning, geopolitical developments and institutional capital flows. While Bitcoin was trading around $93,600 at the time of writing, it has gained over 7 percent in value since the beginning of the year. Ethereum And XRP Significant increases were also observed in major altcoins such as. Analysts point out that risk appetite has revived with the end of the oppressive sales at the end of December. Increasing correlation with global stocks and capital coming through the ETF channel helped the cryptocurrency market find support in the early days of the year.
The End of Tax Sales and Market Psychology Brought the Rise
In the last weeks of December, US-based investors tax Closing the position to write off losses within the scope of its planning limited the rise in the prices of cryptocurrencies. It was observed that with the start of the new year, this pressure disappeared and prices relaxed. Based in Singapore QCP CapitalStating that the end of year-end tax sales triggered a general recovery in risk assets, he emphasized that the cryptocurrency market moves more in line with stocks.
This optimism is not limited to cryptocurrencies. on US stock exchanges oil And technology stocksThe rise in Bitcoin paved the way for Bitcoin to simultaneously gain value. Market participants state that the positive mood on Wall Street provides psychological support for cryptocurrencies. Rebalancing of portfolios, especially in the first days of the year, increased buying transactions.
Analysts emphasize that investors entering the new year with a “clean page” approach may increase volatility in the short term, but the general direction remains upward. In this process, Bitcoin moved in parallel with technology stocks and reacted quickly to the change in risk perception.
What Do Geopolitical Impact, ETF Inflows, and the Options Market Say?
The US military move against Venezuela has brought the search for a safe haven in global markets back to the agenda. bitcoin, gold He took a share of this search together with entities such as. Asia President of STS Digital Jeff AndersonHe stated that geopolitical headlines increased the tendency towards strong assets and supported the flow of fresh funds to cryptocurrencies.
On the corporate front, US-listed spot ETFThere was a net capital inflow of over 1 billion dollars in the first two days of 2026. This chart, based on SoSoValue data, indicates that institutions are returning to the market after a two-month risk reduction period. BRN Research Director Timothy EgyptHe stated that ETF inflows stabilized prices despite weakened liquidity during the Christmas holiday period. Analysts say that, as emphasized in the evaluations made by Bitfinex, the capital flow to the ETFs to be announced in the coming days will be critical for the permanence of the recovery.
options marketOptimism also stands out. Deribit data reveals that investors are showing great interest in Bitcoin call options with a strike price of $100,000. from Wintermute Jake OstrovskisHe stated that although these transactions in the options market are limited in volume, the direction is clearly upward. However, Giottus CEO Vikram SubburajHe also warned that spot volumes remain low and shallow order books increase the risk of a sudden pullback.
