Key Points
- Significant fluctuations in crypto prices and wallet numbers have been observed in the first 10 days of 2025.
- Ethereum and XRP are showing signs of a breakout amid the growth of crypto wallets.
Over the past week, the total value of the cryptocurrency market has decreased by 5.35%. This sudden downward trend was accompanied by a drop in the price of Bitcoin to nearly $90,000.
The swift decline followed a brief recovery in the early part of 2025, which saw a 6.98% increase. At present, the cryptocurrency market is valued at $3.24 trillion, with Bitcoin trading at $94,789.
Unpredictable Wallet Numbers Indicate Crypto Sentiment
The first 10 days of 2025 have been marked by substantial changes in cryptocurrency prices. In addition, the community of long-term holders, known as HODLers, has also experienced significant volatility.
Since the beginning of 2025, the number of crypto holders has seen a major shift. This change reflects investors’ confidence in certain tokens and increasing fear, uncertainty, and doubt (FUD) in others.
According to a recent tweet by Sentiment, the number of non-empty wallets for XRP and Ethereum has risen. However, Chainlink has seen a slight decrease. Meanwhile, Cardano is beginning to recover, showing a positive turnaround.
Since the start of the new year, Bitcoin has gained 102K new wallets, Ethereum has added 645K wallets, XRP has seen an increase of 58K, and Cardano has added 2.8K wallets.
Dogecoin, the most well-known meme coin in the crypto market, has also shown a positive trend with the addition of 29K new wallets. However, the DeFi token Chainlink has seen a decrease of 3.3K holders since the start of 2025.
The increase in wallets for most of the top altcoins and Bitcoin indicates long-term investor confidence. However, the decrease in Chainlink holders suggests an increase in FUD.
Ethereum’s Price Recovery Aims for $3,500
The 4-hour price chart for Ethereum suggests a recovery rally is underway. In the past 12 hours, Ethereum’s price has produced three consecutive bullish candles.
The current ETH price trend indicates a potential fourth bullish candle that could push the price above the $3,300 mark. Challenging the 23.60% Fibonacci level, the ETH price has seen a 3.50% increase amid the short-term recovery.
This challenges the recent bearish engulfing candle, which accounted for a 3.75% drop last night. Moreover, the bullish divergence in the RSI line with the recent 24-hour low suggests a possible extended rally.
According to the Fibonacci level, a 23.60% breakout run could challenge the 50% level at $3,546. However, a failure of the bullish trend could result in a retest of the $3,100 mark.
XRP’s Bullish Flag Aims for New All-time High
Similar to Ethereum, XRP has also seen an intraday recovery of 1.64%. At present, XRP is trading at $2.30 and is challenging the local resistance trendline.
The current XRP price trend is forming a bullish flag on the daily chart. The XRP price is currently challenging the overhead resistance trendline, suggesting a potential breakout rally.
According to the trend-based Fibonacci levels, the breakout rally could potentially challenge the 50% Fibonacci level at $4.68.
