Following a lackluster end to 2025, Bitcoin has started 2026 on the right foot. The worlds largest cryptocurrency by market capitalization has risen from around the 87500 mark to a high of 94295 over the first 5 days of the year.
This is Bitcoins first real run toward the $95000 mark since mid-November. At the same time we heard today that Strategy, a major corporate holder of bitcoin, disclosed more purchases. In a Jan. 5 SEC filing, the company said it bought 1,283 bitcoin between Jan. 1 and Jan. 4 for $116.0 million and held 673,783 coins as of Jan. 4, with the purchases funded through an at-the-market share-sale program. Strategy also reported a $5.40 billion unrealized loss on digital assets for 2025 and said its U.S. dollar reserve was $2.25 billion.
Despite the recovery, the rally is fragile and could be derailed if global conflicts worsen, causing investors to flee risky investments for safety.
It is also vulnerable to new US economic data that might force interest rates and bond yields to rise unexpectedly.
Meanwhile, the cryptocurrency market which trades 24 hours a day remains prone to sudden price drops caused by a lack of available buyers. This lines up with onchain data which showed that crypto trading volumes are at their lowest levels since late 2023.
