Global cryptocurrency markets have gained momentum at the start of 2026 as Bitcoin (CRYPTO: BTC) broke above key technical levels, reigniting speculation over a potential move back toward $100,000.
What Happened: Entrepreneur and Bitcoin investor Lark Davis said the crypto market has staged a strong rebound to begin 2026, adding more than $250 billion in total market capitalization.
Bitcoin is up about 7%, Ethereum (CRYPTO: ETH) has gained nearly 9%, major altcoins are posting double-digit gains, and meme coins have surged sharply.
Davis attributed the rally to five main drivers:
The end of tax-loss harvesting, which removed December selling pressure and allowed rebound buying. A sharp turnaround in spot Bitcoin ETF flows, with some of the largest inflow days since October boosting demand. Expectations of looser monetary policy, as President Donald Trump is likely to appoint a more dovish Federal Reserve chair amid record U.S. debt levels. A technical relief rally following a roughly 35% drawdown from October highs, making a bounce statistically likely. Developments in Venezuela that could pressure oil prices lower, ease inflation and give the Fed more room to cut rates.
Together, easing sell pressure, renewed institutional inflows and a more supportive macro backdrop have aligned for a strong start to 2026. Key resistance levels for Bitcoin remain $94,500 and the psychological $100,000 mark.
Why It Matters: In a separate post, Davis noted Bitcoin was recently rejected near $94,000, printing its first red daily candle of the year after a sharp 3% drop at the New York open.
Prices slid from about $94,300 to $91,200 within hours before rebounding roughly 2% on news that MSCI would keep Strategy in its index.
Bitcoin is now hovering near $92,000, with traders watching closely to see whether it can reclaim and hold above $94,000 or face another rejection as U.S. markets open.
Meanwhile, the Crypto Fear & Greed Index has jumped 22 points since the start of 2026 to 41, its highest level since October 2025, underscoring how quickly sentiment has shifted as bullish momentum returned.
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$BTCBitcoin$91100.00-2.77%Overview$ETHEthereum$3138.20-4.77%Market News and Data brought to you by Benzinga APIs
