2026 begins with a blockbuster show in the crypto market. Bitcoin and Ethereum team up to break the dullness at the end of the year, with BTC smashing through $95,000 in a week, and ETH soaring over 7% in a single day, approaching $3,380 at one point. The entire mainstream coin ecosystem is boiling over — what’s behind this rebound?

In summary, there are three main factors: liquidity is flowing back, institutions are aggressively increasing their holdings, and regulatory expectations are improving. These three forces stacking together have directly ignited market sentiment.

First, look at Bitcoin. As the stabilizing force of the crypto market, BTC’s price movements have always revolved around scarcity and institutional recognition. After the big drop at the end of last year, spot ETF funds saw significant net inflows (clear signals appeared within the first two trading days), and a major platform’s Bitcoin premium index shifted from negative to positive — what does this indicate? Traditional funds are returning. Coupled with the global environment of interest rate cuts and dollar depreciation, and more countries including BTC in their strategic reserves, Bitcoin is gradually evolving from a “non-mainstream investment” to a “safe-haven asset,” a substantial shift in its identity. The enthusiasm for institutional accumulation continues wave after wave, and industry predictions suggest that after adjustments, BTC could surge toward the critical threshold of 100,000. But on the other hand, the risk of short-term technical corrections must also be watched closely.

ETH’s story is a bit more complex. Under the leadership of BTC, can Ethereum catch up? Both technical and capital perspectives suggest there’s a chance, but we need BTC to stabilize first. How far this rally can go depends ultimately on institutional patience and policy direction.