Bitcoin Rallies Above $92,000 as Ethereum, Ripple Show Resilience

Bitcoin rebounded toward $92,000 on January 12, with traders showing cautious optimism ahead of key US inflation data expected later in the week. The price of Bitcoin climbed 1.42% in the past 24 hours, while Ethereum rose 1.90% during the same period. Analysts noted that sustained moves above key resistance levels could signal a broader recovery in the crypto market.

Ethereum, the second-largest cryptocurrency by market capitalization, pushed above $3,200, breaking out of a multi-year symmetrical triangle pattern. This move has been interpreted as a bullish technical signal, with some analysts predicting a potential climb toward $4,000 if the pattern resolves on the upside.

Ripple (XRP) also showed resilience, stabilizing near $2.00 after a recent sharp drop in value. XRP experienced a significant rally of 12% over the past week, with exchange-held balances at multi-year lows, indicating reduced liquidity on trading platforms.

Why the Move Happened

Bitcoin’s rebound comes as traders await the latest US inflation report, which could influence the Federal Reserve’s rate path and crypto liquidity conditions. On-chain and technical indicators suggest short-term bullish momentum, with Bitcoin reclaiming key moving averages and Ethereum breaking out of its consolidation range.

South Korea is also set to announce revised guidelines allowing corporations to invest in digital assets for the first time in nearly a decade. The new rules will permit listed companies and professional investors to allocate up to 5% of their equity capital to the top 20 cryptocurrencies by market capitalization.

How Markets Responded

The global crypto market capitalization rose 1.49% to $3.14 trillion as Bitcoin and Ethereum led the gains. Ethereum’s price action has drawn particular attention as it tests the upper boundary of its symmetrical triangle pattern, with analysts watching for a decisive close above $3,200 to confirm a bullish breakout.

XRP’s recent price movement has also been analyzed for signs of momentum. The coin’s ability to hold above $2.00 has been seen as a positive sign, especially as volume and ETF flows have started to shift in its favor.

What Analysts Are Watching

Traders and analysts are closely watching Bitcoin’s ability to hold above $92,000 and Ethereum’s capacity to maintain support above $3,100. A close above these levels could confirm a broader market recovery phase, according to Riya Sehgal, Research Analyst at Delta Exchange.

Peter Brandt, a legendary trader, has also identified a unique Bitcoin price setup, suggesting that a successful breakout above $92,000 could lead to a climb toward $94,000–$95,000 in the short term. If Bitcoin fails to maintain its gains and breaks below $90,000, it could signal a renewed bearish phase.

The South Korean policy change is expected to bring significant institutional capital into the crypto space, potentially boosting the prices of major assets like Bitcoin and Ethereum. The FSC’s phased approach to easing corporate crypto investment rules was first announced in February 2025, but final guidelines are expected in early 2026.

Market sentiment remains cautious, with the Crypto Fear & Greed Index at 42, indicating a still-prevalent fear sentiment. Despite some positive technical signals, macroeconomic uncertainties continue to weigh on trader confidence.

Bitcoin ETF flows have been mixed, with recent outflows signaling a potential correction in the short term. Ethereum and XRP ETFs, on the other hand, have seen inflows, with Ethereum’s inflows reaching $115 million over three consecutive days.

Analysts also note that while the technical indicators for Bitcoin and Ethereum are showing bullish potential, the broader macroeconomic environment remains a key factor in determining the direction of the market. The upcoming US inflation data will be a critical event for the crypto market.