January 2025 Crypto Report Key Takeaways:
Donald Trump’s inauguration as the U.S. President boosted crypto sentiment, with expectations of a more favorable regulatory environment driving Bitcoin (BTC) to an all-time high of $109,000. Bitcoin gained 9.29% in January, and Solana (SOL) soared 22.3%, fueled by strong on-chain activity, while Ether (ETH) posted a modest 1.28% decline despite network growth. U.S. spot Bitcoin ETFs saw a 6.7% increase in inflows to $4.8 billion, and institutions like MicroStrategy continued aggressive Bitcoin acquisitions, signaling sustained confidence in crypto’s long-term potential. In contrast, U.S. spot Ether ETF inflows plummeted 95%, dropping from over $2 billion in December to just $101.15 million in January, signaling waning investor interest. Key events like the FOMC meeting, the SEC’s new crypto working group, and the EU’s MiCA regulations influenced market dynamics, highlighting the growing role of regulatory frameworks in shaping crypto’s future.Table of Contents
Bitcoin Report: BTC Surges to $109K Amid Optimism, But On-Chain Data Shows Mixed SignalsBitcoin ETFs in January 2025Bitcoin News – January 2025 HighlightsEthereum Report: Ethereum Slips in January Despite On-Chain GrowthEthereum News – January 2025 HighlightsEthereum ETFs in January 2025Solana Report: Solana Surges in January with Strong On-Chain GrowthSolana News – January 2025 HighlightsWhat to Look for in February’s Key Events and Crypto ReportJanuary 2025 was an important month for crypto, with several major events. Here’s a breakdown of the top news that definitely affected the industry.
Bitcoin Report: BTC Surges to $109K Amid Optimism, But On-Chain Data Shows Mixed Signals
Bitcoin posted over a 9% gain in January, reaching an all-time high of $109,000 on Jan. 20, fueled by optimism surrounding Trump’s crypto-friendly stance following his inauguration.
However, on-chain data showed a mixed picture: the number of transactions declined 10% to 11.5 million, while active wallets fell 9.5% to 23.8 million, and new wallets dropped 6% to 10.1 million.
Meanwhile, Bitcoin mining revenue dipped slightly by 0.7% to $1.4 billion, while transaction fees plunged 48% to $20.37 million, down from December’s $38.91 million. The average hashrate remained steady at 758.3 EH/s, with mining difficulty decreasing 1.5% to 108.10T amid notable volatility throughout the month. Difficulty peaked at 110.49T mid-month before dropping towards the end of January.
Bitcoin ETFs in January 2025
US spot Bitcoin ETF flows rebounded, with $4.8 billion in new inflows, marking a 6.7% increase from December’s $4.5 billion, reflecting growing institutional interest.
Bitcoin News – January 2025 Highlights
Grayscale Launches Bitcoin Mining ETF on NYSE Arca
The fund provides targeted exposure to the sector’s top players, including Marathon and Riot.
US SEC approved Bitwise’s combined Bitcoin and Ether ETF
The “accelerated approval” grants NYSE Arca the ability to list and trade shares of the hybrid fund.
Coinbase Launches Bitcoin-backed Loan Services for U.S. Users
Eligible U.S. customers, excluding residents of New York, can now borrow up to $100,000 in USD Coin (USDC) using their Bitcoin (BTC) as collateral.
Ethereum Report: Ethereum Slips in January Despite On-Chain Growth
Ether (ETH) posted a modest 1.28% loss in January, reflecting market volatility despite strong on-chain activity.
The number of transactions on Ethereum grew 4.3% to 37.9 million, while active wallets grew nearly 5% to 15.6 million, and new wallets grew 2.6% to 3.9 million, indicating continued engagement with the network.
Validator performance was strong, with staking revenue surging 31% to $274.3 million, driven by increased staking activity.
Transaction fees remained stable at $34.7 million, a slight 0.3% uptick from December.
Ethereum Top Gainers and Losers in January
In January 2025, Ethereum-based altcoins saw significant price fluctuations driven by market sentiment and ecosystem developments. Some tokens experienced impressive rallies due to increased adoption and new protocol upgrades, while others struggled with declining liquidity and investor sell-offs. The competition among Layer 2 solutions and DeFi projects also influenced price action, with certain coins outperforming the broader market. Here are the top gainers and losers on Ethereum in January 2025.
Ethereum News – January 2025 Highlights
Vitalik Buterin Unveils Leadership Overhaul at Ethereum Foundation to Boost Technical Focus
Buterin emphasized that the Ethereum Foundation will avoid political lobbying or ideological shifts, maintaining its decentralized ethos.
Paradigm Asks Ethereum to Accelerate Protocol Upgrades While Preserving Core Values
“We think Ethereum’s core protocol could be improving much faster,” the firm stated.
Swiss Bank PostFinance Introduces Ethereum Staking for Passive Income
The bank emphasized that staking is conducted directly on the Ethereum blockchain, ensuring a high level of transparency and security.
Ethereum ETFs in January 2025
Ether ETF inflows dropped sharply to $101.15 million, a 95% decline from December’s $2 billion, signaling waning institutional interest.
Solana Report: Solana Surges in January with Strong On-Chain Growth
Solana recorded an impressive 22.3% return in January, outperforming many major crypto amid rising market optimism.
The network saw a surge in on-chain activity, with transactions up 13% to 3.5 billion, reflecting increased user engagement.
Meanwhile, the number of active wallets rose 9% to 151.2 million, and new wallets soared 22% to 640.5 million, highlighting Solana’s expanding user base and strong adoption.
Solana Top Gainers and Losers in January
Solana saw a wave of interest in January as President Donald Trump and First Lady Melania Trump both launched official crypto tokens on the chain. While these were met with mixed feelings, this was undoubtedly a moment for the history books. Aside from the official presidential coins, here are the top gainers and losers of the month.
Solana News – January 2025 Highlights
Cboe BZX Exchange Resubmits Filings for Four Asset Managers Eyeing Solana ETF Listing in US
The move follows the Securities and Exchange Commission’s (SEC) rejection of their previous filings late last year.
Sol Strategies Entered OTC Group Best Market Under the Ticker “CYFRF”
Sol Strategies upgrades to OTCQX Best Market, enhancing U.S. investor access and increasing transparency.
Solana Developers Propose New Hashing System to Address Scalability Challenges
The proposal, titled SIMD-215, introduces a lattice-based homomorphic hashing function.
What to Look for in February’s Key Events and Crypto Report
Here’s a list of key macroeconomic events/metrics in February 2025 that could affect crypto:
Consensus Hong Kong Summit (Feb 18-20): Hong Kong hosts one of the largest crypto conferences, aiming to attract 10,000 attendees as it positions itself as a global digital asset hub. MiCA takes effect (Q1 2025): The EU’s landmark crypto regulation is now in force, impacting global crypto exchanges and stablecoins like Tether (USDT), which may face trading restrictions in the EU due to non-compliance.The crypto market in 2025 is expected to see significant changes driven by technological advancements and regulatory decisions.
The approval of spot Solana ETFs in the U.S. could significantly boost the Solana price. In addition, AI-powered crypto trading is expected to become a major trend, with AI bots potentially outperforming human investors in terms of efficiency and market insight.
However, there are also challenges to consider. AI-powered scams are becoming increasingly sophisticated, and crypto investors need to be aware of these threats.
The new administration in the U.S. is expected to foster a more innovation-friendly crypto regulatory environment.
Increased institutional and governmental crypto adoption is also on the horizon, fueled by potential advancements like a U.S. Bitcoin Reserve Act.
Finally, the change in SEC leadership under Paul Atkins also rekindled hopes for greater regulatory clarity and a potential resolution to the SEC’s case against Ripple.
However, before jumping on the bull train, crypto investors should carefully consider the current economic landscape. For more detailed information, check out Cryptonews price predictions for Bitcoin, Ethereum, and Solana.
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