Bitcoin, Ethereum, Other Cryptos Rise. A Strong Start to 2026 May Not Last. — Barrons.com
By Jack DentonBitcoin and other cryptocurrencies were rising on Friday, starting 2026 on strong footing. But headwinds remain for digital assets following a period of underperformance and fears of a new "crypto winter."The price of Bitcoin gained 2% over the past 24 hours to $89,400, with the largest crypto approaching the $90,000 level, which it has not held reliably since early December.Bitcoin "has marginally broken up through resistance at points $88,000. An established break predicts a further rise...[Bitcoin] is overall assessed as technically slightly positive for the short term," analysts at investing platform Investtech wrote based on technical market indicators.A strong start to trading in 2026 will raise hopes of an end to a dismal period for cryptos. Bitcoin hit a record high above $125,000 in October but has since lost around a third of its value despite a continued rally in other assets, like stocks and gold.A prolonged stretch of stagnant trading and relatively depressed prices has raised fears that Bitcoin is entering another "crypto winter, which is a multi-month or even yearlong period of retrenchment following a record high.Peering into the Bitcoin options market, where traders bet on specific future price moves, suggests a bearish tint to sentiment in the coming months.Among contracts traded on the exchange Deribit expiring at the end of June 2026, there are far more puts — which pay out if prices drop to a specific level by a certain expiration date — for Bitcoin than "calls," or bets on a price rise.While many of these puts are concentrated on a fall within the price range of around $60,000 to $85,000, the single most popular "strike price" or specific price level bet in terms of number of contracts is much lower — $20,000.Beyond Bitcoin, Ethereum — the second-largest crypto — rose 2% to above $3,000. Smaller cryptos or altcoins were also buoyant, with XRP rally 2%, Solana surging 3%, and "meme" token Dogecoin spiking 9%.Write to Jack Denton at [email protected] content was created by Barron's, which is operated by Dow Jones & Co. Barron's is published independently from Dow Jones Newswires and The Wall Street Journal.