On Tuesday afternoon, Bitcoin broke through a key resistance zone and rose above $96,000. This was its strongest price movement in weeks after a long period of trading within a range. At the time of publication, bitcoin traded around $95,000, up about 3% over the past 24 hours, according to TradingView data.
The move placed bitcoin decisively above the upper boundary of January’s consolidation range. The asset now sits close to weekly highs and about 5% above its seven-day low near $91,700, as buyers regained short-term control of market structure.
Trading activity rose alongside the price. Bitcoin’s 24-hour trading volume climbed to roughly $55 billion, while separate data showed volume as high as $68 billion during peak activity, which reflects renewed participation across spot and derivatives markets. CoinMarketCap data shows Bitcoin’s market capitalization reached approximately $1.92 trillion, with circulating supply just under 19.98 million BTC, close to the protocol’s fixed cap of 21 million coins.
ETF inflows return after year-end slowdown
U.S. spot bitcoin exchange-traded funds posted their largest daily net inflows since Oct. 7, 2025, which signals renewed institutional demand after year-end portfolio adjustments. According to SoSoValue data, spot bitcoin ETFs recorded $753.7 million in net inflows on Tuesday.
Fidelity’s FBTC led flows with $351 million, followed by Bitwise’s BITB with $159 million and BlackRock’s IBIT with $126 million. Additional inflows went to ARKB, Grayscale’s Bitcoin Mini ETF, VanEck’s HODL, and WisdomTree’s BTCW.
"The BTC ETF inflows represent a resurgence of institutional demand, signaling that investors are aggressively reallocating capital after a period of year-end caution and de-risking late last year," said Nick Rick, director of LVRG Research.
Ethereum ETFs also recorded positive flows, with $130 million entering five funds on the same day.
Vincent Liu, chief investment officer of Kronos Research, linked the flows to improving macro conditions and policy clarity in Washington. He cited the latest U.S. consumer price index data and progress on crypto market structure legislation.
"The rally is driven by sustained ETF inflows absorbing supply well beyond miner issuance, creating a structural tailwind," Liu said. "Improving regulatory clarity and the unwind of over-leveraged short positions further accelerated price action, with the rally notably led by spot demand rather than leverage."
Regulatory uncertainty remains despite momentum
Bitcoin’s advance occurred as U.S. lawmakers continued to debate crypto market structure legislation. The Senate Agriculture Committee delayed its markup of the Digital Asset Market Structure CLARITY Act until late January, while the Senate Banking Committee kept its markup scheduled for Jan. 15.
Senate Agriculture Committee Chairman John Boozman said legislative text would be released by the close of business on Wednesday, Jan. 21, with a committee markup planned for Tuesday, Jan. 27, at 3 p.m. Boozman stated that the timeline aims to ensure transparency, thorough review, and consumer protection while supporting U.S. innovation.
🚨JUST IN: @SenateAg Committee Chair @JohnBoozman just released the expected schedule for the committee’s rescheduled markup which is now set to be held on Tuesday, January 27 at 3pm ET. pic.twitter.com/LQSw5J8iCW
— Eleanor Terrett (@EleanorTerrett) January 13, 2026
The delay suggested a lack of consensus within the Senate, amid disputes over stablecoin rewards, decentralized finance oversight, and the division of authority between the SEC and CFTC. Although the House passed its version of the bill in mid-2025, both Senate committees must approve the legislation before it can advance.
Corporate exposure amplifies market reaction
Equity markets tied to bitcoin also reacted sharply. Shares of Strategy (MSTR) closed at $172.99, up 6.63% on the day, before extending gains to about $177 in after-hours trading.
On Jan. 12, the company disclosed the purchase of 13,627 bitcoin for $1.25 billion, raising its total holdings to 687,410 BTC. The acquisitions took place between Jan. 5 and Jan. 11 and were funded through an at-the-market offering that included sales of Class A common stock and its 10.00% Series A perpetual preferred stock, Stretch (STRC).
Macro pressure adds volatility
Bitcoin’s rally unfolded against a complex macro backdrop. U.S. inflation data showed consumer prices held steady at a 2.7% annual pace in December, with core inflation at 2.6%, in line with expectations. The report reinforced expectations that the Federal Reserve would keep rates unchanged in the near term, while markets continued to price possible cuts later in 2026.
Political uncertainty also weighed on sentiment. The Department of Justice opened a criminal investigation into Federal Reserve Chair Jerome Powell, according to Powell, who said the Fed received grand jury subpoenas tied to his June 2025 testimony about a renovation project exceeding $2.5 billion.
"Over the past week and a half, we’ve witnessed several global events that remind investors why Bitcoin was created in the first place," Ryan Rasmussen, head of research at Bitwise said.
Technical levels come back into focus
Bitcoin reclaimed short-term technical structure after several failed breakout attempts near the mid-$94,000 range over recent months. Price action previously remained compressed between roughly $85,000 and $94,000, which raised concerns among analysts about buyer conviction.
Immediate resistance now sits near $98,000 to $104,000, while former resistance near $94,000 may act as support. A loss of that zone could return price to consolidation. At press time, bitcoin traded near $96,000.
Anastasiia G
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