Bitcoin being above $88,000 and Ethereum being above $3,000 has been greatly supporting the entire crypto market. This has boosted the confidence of investors.
NFT tokens and certain alt-coins are leading today’s markets, illustrating definite signs of sector rotation away from Bitcoin and ETH.
Clarity from the US and Hong Kong, as well as duplicitous flows into ETFs, are driving market sentiment and dictating where people are betting.
Crypto prices today are on an uptrend. Bitcoin is trading above $88,000, while Ethereum has broken above the $3,000 barrier. Altcoins have followed suit except for XRP and Cardano, which have shown minor corrections. The general market is witnessing growth, thanks to a strong recovery in the NFT sector as traditional large-cap cryptocurrencies continue their steady climb. Here’s what happened with crypto prices today based on CoinMarketCap data.
The current price of Bitcoin is $88,856.77. This shows a jump of 0.87% within the last 24 hours. Bitcoin temporarily crossed the $89,000 mark during the trading session. This indicates that the cryptocurrency retains its momentum. The market capitalization of Bitcoin stood at above $1.77 trillion. The daily trading volume surpassed $23.6 billion.
According to CoinSwitch Markets Desk, “BTC saw a bounce from the $85,000 support area, where dip buyers stepped in and short covering pushed price back toward $88,000–$89,000. Since then, BTC has been trading sideways, showing indecision near resistance. Sellers are defending higher levels, while buyers continue to protect dips, pointing to a consolidation phase. Meanwhile, around $24B worth of BTC options are set to expire on December 26.”
CoinSwitch analysts further explained, “The large expiry could keep BTC range-bound and volatile in the near term, with the possibility of a directional move more likely after settlement. A clean break above $90,000 could open room for upside, while a pullback to $87,000 may lead to a retest of the $85,000 zone.”
The price of Ethereum has risen to $3,038.37, recording a strong 2.15% increase in the last 24 hours. This development has seen the market capitalization of the world’s second-largest cryptocurrency increase to $366.7 billion, with trading volumes amounting to $14.3 billion. Breaking through the psychological barrier of $3,000, the ripple effects of this development have been experienced positively within the DeFi and Layer 1 sectors.
Most altcoins are trading in green. Here’s a detailed breakdown:
BNB is currently trading at $858.78 with an increase of 1.22% within the last 24 hours. The price of Solana has surged to $126.48, registering a gain of 1.06% in a day. TRON (TRX) is currently trading at $0.2868 with an increase of 1.25% over the last day with a market cap of $ 27.1 billion. Dogecoin price is trading at $0.1324, reflecting a 1.01% growth.
The current price of XRP is $1.92, having shown a minor reduction of 0.11% today. The market capitalization of XRP is $116.4 billion. Cardano’s (ADA) token was trading in red at $0.3669, down 0.30% on a 24-hour basis. The crypto retains a market value of $13.1 billion.
Tether (USDT) and USDC are flat at $1 peg with a market cap of $77.1 billion and are ranked the sixth largest cryptocurrency.
Also Read: Top 10 Leading Women in Crypto in 2025
Crypto prices today are performing well owing to both sector rotation and momentum upswings in various sectors. Tokens related to NFTs are up close to 6%, and some of the smaller ones, such as Audiera, are up by over 60%. The upswing has extended to other sectors such as real-world assets (RWA), DeFi, and meme-coins.
The present jump in crypto prices is mainly due to an improvement in sentiment on Layer 1 blockchains and baskets of centralized finance. The stability in Bitcoin prices at levels above $88,000, as well as the breakthrough by Ethereum beyond $3,000, has established a favorable environment for altcoins to rally.
Here are the top global headlines impacting crypto prices today:
The Hong Kong government is going ahead with a regulatory framework that will permit insurers to invest in digital assets. The new regulatory framework sets a risk charge at 100% on digital assets, such as cryptocurrencies, and capital requirements on stablecoins that are pegged to their backing in traditional currencies and supervised in Hong Kong.
The regulatory framework will be open to public feedback from February to April 2026. This might usher in new institutional capital inflows for the crypto market, as insurance companies constitute a substantial source of investment capital.
Investment trend into the spot crypto ETFs showed opposite strains in the market. Net outflows of $644 million in the Ethereum ETFs were witnessed between December 15 and 19. Bitcoin ETFs also saw net outflows of $497 million in the same period.
However, XRP Spot ETFs recorded a net inflow of $82.04 million, while Solana ETFs recorded a net inflow of $66.55 million. This can be an indication that investors might be rotating to other cryptos while harvesting profits from Bitcoin and Ethereum.
Federal bank regulators in the United States have asserted the legality of banking institutions purchasing, selling, and offering the custody of cryptocurrencies. The clarification of the regulatory body on the matter has indeed contributed significantly to mainstream adoption and may even introduce mainstream financial institutions into the world of cryptocurrency.
Also Read: Bipartisan Bill Seeks Crypto Tax Clarity with Stablecoin Exemption and Staking Deferral
Crypto prices today reflect better market sentiment as Bitcoin keeps crucial support levels, and Ethereum continues to move ahead above $3,000. Factors such as regulatory developments in Hong Kong, banking regulations for US banks, and sector rotation towards NFTs and altcoins boosted sentiment. It also indicates that cryptocurrencies might be entering a stable period with expected gains in the long term.
1. What's causing the rise in cryptocurrency prices today?
Cryptocurrency prices are rising amid strong gains in Bitcoin and Ethereum, as well as a sharp recovery in NFT-related tokens. A change in sentiment, rotation in favour of the sector, and favorable regulatory announcements are also propelling the market today.
2. Why is Bitcoin holding above $88,000 important?
The fact that Bitcoin has remained above $88,000 indicates strong support and confidence among buyers. This position acts as a stabilizer on the market and often leads to taking more risks to invest in other cryptocurrencies.
3. What implications does Ethereum breaking above $3,000 have in the market?
Ethereum rising above $3,000 is a welcome sign, as it increases confidence in Layer 1 networks, DeFi, and other areas. It usually translates into increased activity in the broader crypto space.
4. Why are NFTs and altcoins doing so well today?
Investors seem to be rotating their money into NFTs and altcoins amid a period of consolidation in the Bitcoin and Ethereum markets. Good short-term momentum and low prices are now drawing interest in the said market segments.
5. How do changes in regulations affect the price of cryptocurrency?
More definitive regulations, such as the involvement of US banks in crypto and investment opportunities opening up in places like Hong Kong, remove uncertainty. This has often helped create greater trust and facilitated greater participation in crypto.
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