Crypto Forecast January 2026: What’s Next for Bitcoin and Ethereum?

The beginning of a new year often brings excitement and anxiety to the crypto market. As we enter January 2026, the chaotic days of digital currency seem far behind. Today, crypto is not just for tech enthusiasts or risk-seekers; it has become a normal part of many retirement portfolios and banking options.

After the wild price fluctuations of 2025, many investors are wondering if January 2026 is the right time to buy or if they should wait for a dip. Let’s examine the outlook for the two major players: Bitcoin and Ethereum.

Bitcoin (BTC): The Digital Gold Standard

Last year was pivotal for Bitcoin. It reached record highs, fueled by large banks and even some small countries adding it to their balance sheets. Now that the initial excitement has cooled, Bitcoin is in a consolidation phase. This term means the price is pausing for a moment.

Where is the price headed?

Currently, Bitcoin is trading around $88,000 to $90,000. For January, the focus is on stability.

* The Floor: There is significant support at $87,000. If the price remains above this level, the sentiment stays positive.

* The Ceiling: The next major challenge is $92,000. If Bitcoin can surpass this in the coming weeks, we could see a swift move toward the iconic $100,000 mark by spring.

Why is it moving this way?

It’s no longer simply about hype. New laws passed in late 2025 have made it easier for large companies to hold Bitcoin securely. Rather than selling for quick gains, many large investors are holding their coins. This supply shock usually leads to upward pressure on price, even if demand stays steady.

Ethereum (ETH): More Than Just a Coin

If Bitcoin is digital gold, Ethereum is digital oil. It powers thousands of applications, NFT marketplaces, and innovative methods for banks to transfer money across borders.

January 2026 Outlook

Ethereum kicks off the year trading steadily above $3,000. While it hasn’t grown as sharply as Bitcoin recently, many experts think ETH is the "sleeping giant" of 2026.

* Institutional Interest: Wall Street is evolving from simply holding crypto to building on it. Ethereum is the top choice for this development.

* Price Targets: Some analysts expect that once the Bitcoin cooldown concludes, Ethereum could rise toward $3,500 by the end of the month.

The Network Effect

What makes Ethereum stand out this January is its increased usage. The network has become faster and cheaper than it was two years ago due to recent upgrades. A growing number of users typically leads to a higher price over time.

3 Crypto Trends to Watch This Month

Besides the prices, there are three important trends all casual investors should monitor this January:

1. Mainstream Payments: Look out for more apps like PayPal or Venmo allowing you to pay for everyday purchases directly with Bitcoin or Ethereum.

2. Regulation Clarity: The guidelines are finally clear, resulting in fewer scam coins and more projects of real value.

3. Stability: January is often a month when people rebalance their investments. Don’t be surprised if the first two weeks are somewhat flat before significant movements begin.