Ethereum and XRP Signal Breakout amid Crypto Wallet Growth

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Over the past week, I’ve noticed a significant decrease of approximately 5.35% in the total crypto market capitalization. This sudden downturn has been accompanied by a drop in Bitcoin‘s price, which has dipped close to $90,000. In the last 24 hours, its volatility stood at 1.7%, while its market cap remains around $1.88 trillion and its 24-hour trading volume was approximately $46.04 billion.

The swift drop following the early 2025 recovery week of 6.98% underscores how quickly things can change in the crypto market. At present, the total market cap is $3.24 trillion, with Bitcoin trading at a value of $94,789.

The quick fall after the first recovery week in early 2025 shows how fast things can change in the world of cryptocurrencies. Currently, the combined value of all cryptocurrencies is about $3.24 trillion, and Bitcoin’s price stands at around $94,789.

Fluctuating Wallets Reveal Underlying Crypto Sentiment

2025’s initial ten days saw significant ups and downs in cryptocurrency values. Additionally, the HODLer community experienced an unprecedented rise in market volatility.

From January 1st to January 10th, 2025, there were huge swings in crypto prices. The HODLer group also witnessed a steep increase in price instability during this period.

Starting from January 2025, there’s been a notable shift in the number of cryptocurrency owners. This trend indicates increasing trust among investors towards specific tokens, while fostering fear, uncertainty, and doubt (FUD) regarding others.

The count of XRP and Ethereum non-empty wallets has seen an increase recently, while Chainlink has experienced a slight decrease. On the other hand, Cardano is showing signs of recovery with a positive trend.

Since the start of 2025, the volatile pricing of leading cryptocurrencies has caused a significant swing in the number of holders, with this figure experiencing wide fluctuations compared to the beginning of the year.

₿ Bitcoin wallets increased by 102,000, while Ethereum saw an addition of 645,000 wallets. On the XRP Ledger, there were 58,000 new wallets, and Cardano recorded a rise of 2,800 wallets.

— Santiment (@santimentfeed) January 10, 2025

Over the past few months, Bitcoin, Ethereum, Ripple (XRP), and Cardano have seen an increase in user adoption. Specifically, since the start of the year, we’ve observed 102,000 new Bitcoin wallets, followed by a staggering 645,000 for Ethereum. The XRP network has also shown steady growth with approximately 58,000 new wallets, and Cardano welcoming around 2,800 new users.

In the realm of cryptocurrencies, Dogecoin (DOGE) with a market cap of $49.56 billion and a current value of $0.34, has seen an increase of 29,000 new wallets. Conversely, Chainlink (LINK), a DeFi token valued at $20.37, has experienced a decrease of 3,300 holders since the start of 2025. Both coins have shown modest daily volatility, with Dogecoin at 2.0% and Chainlink at 2.7%. The daily trading volumes for Dogecoin and Chainlink are $3.60 billion and $860.34 million respectively.

On a broader scale, it appears that most leading altcoins, along with Bitcoin, are seeing an increase in wallet holdings, indicating a long-term optimism among investors. Conversely, a downward trend in Chainlink suggests a rise in fear, uncertainty, and doubt (FUD) within its investor base.

Ethereum Price Recovery Targets $3,500

On a 4-hour timeframe, Ethereum appears to be gearing up for an upward trend. Over the last 12 hours, we’ve seen Ethereum’s price form three successive bullish candles.

Additionally, it appears that the Ethereum (ETH) cryptocurrency price may soon form its fourth consecutive bullish candle to surpass the $3,300 threshold. The price has already climbed past the 23.60% Fibonacci resistance level and is currently experiencing a 3.50% growth due to this short-term rally.

This contradicts the negative trend suggested by yesterday’s bearish engulfing candle, which led to a 3.75% decline. However, the bullish divergence in the RSI line, contrasting with the recent 24-hour low, suggests a prolonged upward movement could follow.

According to the Fibonacci sequence, it’s anticipated that the price surge of approximately 23.60% may push prices up to around $3,546. Yet, if this bullish run fails, there’s a possibility of a retest at the $3,100 mark.

Bullish Flag in XRP Targets New All-time High

Just like Ethereum, XRP cryptocurrency has seen a 1.64% increase in value today. Right now, it’s being traded at approximately $2.30 as it tries to break through its local resistance trendline.

According to current market patterns, the price of XRP cryptocurrency appears to be forming a bullish pennant on its daily chart. At present, the XRP price is attempting to breach the resistance trendline above it, which could signal an imminent surge in its value.

Based on the pattern suggested by trend-following Fibonacci analysis, it’s expected that the upward momentum could test or even reach approximately $4.68, which represents a 50% Fibonacci level.

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2025-01-10 14:00