Analyst: Q1 Expected to Maintain Range-Bound Trading with High Volatility, but Price Has Built a Stronger Support Foundation

By: theblockbeats.news|2026/01/05 15:16:09
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BlockBeats News, January 5th, in response to the recent rebound in the crypto market, SynFutures COO Wenny Cai said, "The significant increase in Bitcoin average inflows to Binance indicates that large holders are becoming active again. This is typically an early signal of a new round of speculative activity rather than market noise being driven by retail investors. However, the current market appears more like a repositioning after a period of low activity for a few weeks, with traders testing the upside potential rather than aggressively building positions. It is expected that Bitcoin will maintain a range-bound but volatile trend in the first quarter, with the direction depending on ETF fund inflows and institutional strategies."

Cryptocurrency market maker Caladan's Head of Research Derek Lim stated, "While the Venezuela event did not have a direct impact on crypto prices, it has made the geopolitical situation more unstable." He warned that the ripple effects of this move "could trigger a panic event affecting the market."

Lim also pointed out that despite the existence of cautionary sentiments, large holders are re-entering the market after a period of accumulation, signaling a shift in market dynamics. Long-term Bitcoin holders have turned net buyers for the first time in months, indicating that even within an established trading range, the price has built a stronger support base.

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