Daily Market Update: Bitcoin Stuck at $92,000 as Stock Markets Await Inflation Data

TLDR

• Bitcoin remains stuck near $92,000 with limited movement as leverage is flushed out and spot demand stays weak
• Altcoins show high volatility with tokens like Story’s IP jumping 40% in a week despite weak fundamentals
• US stock futures slipped slightly as investors wait for December inflation data due Tuesday
• Gold hit record highs near $4,588 per ounce while the dollar weakened following Fed chair probe news
• Major bank earnings start Tuesday with JPMorgan Chase reporting first, kicking off Wall Street earnings season

Bitcoin trading has settled into a tight range near $92,000 as crypto markets enter a period of reduced activity. The lack of movement comes as leveraged positions have been cleared out and new buying interest remains limited.

Ethereum is holding above $3,000 but faces similar challenges in breaking higher. Market maker Enflux told CoinDesk that recent token unlocks, including a large one from SUI, have created imbalances across altcoin trading pairs.

These imbalances force automated trading systems to rebalance positions through exchanges. This process pulls liquidity away from Bitcoin and keeps the largest crypto stuck in its current range.

Altcoin Volatility Rises Despite Weak Fundamentals

On-chain data shows the project has just $4.75 million in total value locked. Daily fees and revenue total only $27, while decentralized exchange volume sits around $220,000.

The token has no incentive programs running. Analysts say the price action reflects traders rotating money between different coins rather than actual growth in usage.

Glassnode noted in their weekly report that Bitcoin has limited downside risk with leverage cleaned out. However, weak spot buying and negative ETF flows prevent sustained upward moves.

Capital is moving around the market rather than new money coming in. This creates an environment where Bitcoin acts as an anchor while smaller coins see sharp price swings based on trading narratives.

Stock Futures Dip Ahead of Key Economic Data

US stock futures edged lower Monday night as investors prepared for important inflation numbers. Dow Jones Industrial Average futures dropped 0.1% while S&P 500 futures fell by the same amount.

Nasdaq 100 futures declined 0.3%. Markets are waiting for Tuesday’s release of the December consumer price index report.

Analysts expect inflation to have stayed steady last month. The data comes after December’s jobs report showed cooling in the labor market.

Futures markets currently price in two quarter-point rate cuts during 2026. The first cut is expected in June according to CME Group’s FedWatch tool.

During Monday’s trading session, the S&P 500 and Dow Jones both reached new record highs. Investors mostly ignored news about a Justice Department investigation involving Federal Reserve Chair Jerome Powell.

Powell’s term ends in May. He said the probe represents political pressure from President Trump, who has repeatedly pushed for lower interest rates.

Banking Sector Faces Multiple Pressures

Bank stocks saw selling pressure after Trump proposed capping credit card interest rates at 10% for one year. The president also announced Monday evening that countries doing business with Iran would face 25% US tariffs.

Corporate earnings season begins Tuesday with JPMorgan Chase reporting fourth-quarter results before markets open. Bank of America, Citigroup, and Morgan Stanley will report later in the week.

Gold prices steadied near $4,588 per ounce after a 2% rally to record levels. Silver eased 1.2% after jumping 6% recently.

The precious metals gained support from a weaker US dollar. Concerns about Federal Reserve independence following the Justice Department probe also supported gold prices.

Prediction markets show high probability that Bitcoin will stay near $90,000 through mid-January. The odds of a sustained move above the mid-$90,000s remain low.

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