Bitcoin's recent slump isn't a sign of crypto-specific trouble, but don't hold your breath for another massive price surge next January, according to Ophelia Snyder, co-founder of 21Shares.
Snyder reckons the current choppy market waters are going to make it tough for Bitcoin to repeat the big gains it saw in early 2025 as we head into 2026. She shared with Cointelegraph that she doesn't see the factors causing all this volatility clearing up anytime soon. Essentially, whether Bitcoin rallies next January will heavily depend on the general mood of the wider market.
She pointed out that January often sees a boost in Bitcoin Exchange-Traded Funds (ETFs) because that’s when investors typically rebalance their portfolios and put new money in at the start of the year.
Snyder admitted it's hard to predict how Bitcoin will fare this coming January, especially with the current low level of positive market sentiment.
Remember back to January 9th? That’s when Bitcoin hit a peak of $109,000, just before Donald Trump’s inauguration. Traders were betting that his crypto plans would ignite a massive rally. The price climbed further to its current all-time high of $125,100 on October 5th. But then came the infamous $19 billion liquidation event on October 10th, and things took a turn. That shake-up forced many to adopt a more cautious stance, letting go of the rosy year-end predictions they once held.
Bitcoin is trading at $92,150 at the time of publication. Source: CoinMarketCap
Currently, Bitcoin is hovering around $92,150, having dropped almost 10% in the last month.
However, in the long run, Snyder is actually quite bullish. She sees the recent correction as a reaction to a general "risk-off" sentiment in the broader financial world, rather than a problem unique to the crypto space itself.
Snyder sees a few major forces that could push Bitcoin to greater heights:
That said, other industry leaders are more optimistic. BitMine chair Tom Lee, for example, is betting on Bitcoin hitting a new high before the end of January 2026. Historically, Bitcoin has averaged a return of 3.81% in the month of January since 2013.
On the flip side, Snyder noted that Bitcoin could underperform if the "risk-off" mood continues in the larger financial markets, or if gold's strength persists, making it more attractive than Bitcoin to traditional investors.
It seems the road ahead for Bitcoin is still very much tied to the general financial weather, not just what's happening in its own backyard.