Is Bitcoin a Sleeper Hit Waiting to Pounce? 🌕💰

by

So, the term “crypto winter” seems to have evaporated, or maybe just turned into one of those brief snowflakes on your tongue. As global dollar liquidity starts to climb again (oh, the joy!), virtually every headline you can absorb is fixated on the year-end volatility. But here’s the fun part: BitMEX co-founder Arthur Hayes, apparently a human weather map for crypto, spotted a pivotal shift that could spell out the future of bitcoin in early 2026.

Hayes claims the relentless squeeze of global dollar liquidity, which was giving the middle finger to risk assets in 2025, hit rock bottom in November. This isn’t some dry financial report we’re talking about-it’s the financial equivalent of a green light at the traffic light for the “money printer” narrative!

Liquidity – What’s the Buzz?

Apparently, according to Hayes, liquidity stopped retreating and is now tiptoeing higher, creating a nest egg for another round in the crypto twist-and-shout.

This sentiment is catching on among those on-chain whiz kids and macro commentators. Mister Crypto (not sure if that’s a real name or a mask) went so far as to pinpoint a looming catalyst: a projected $8.165 billion injection from the Federal Reserve scheduled for the 6th of January. He quips, “We are now on the bullish side of the liquidity cycle… Quantitative Easing. Are you bullish on 2026?” Well, if only weddings were this predictable.

But hold onto your hats! After a week where Bitcoin ETFs saw a dazzling $1.12 billion in cumulative net outflows (brace yourself), the tables turned on Tuesday, snapping their losing streak with an emphatic ‘nope.’ The rebound was nothing short of spectacular, gobbling up $355 million in a single session and erasing about a third of the previous week’s exits.

Mystery in Motion

In the limelight was BlackRock’s iShares Bitcoin Trust (IBIT), securing a cool $143.75 million. Coming in not far behind were Ark 21Shares (ARKB) with $109.56 million and Fidelity (FBTC) with $78.59 million. Meanwhile, Bitwise (BITB) added $13.87 million-think of that as a modest dessert plate at a sumptuous banquet.

VanEck (HODL) got a little something, $4.98 million, while Grayscale (GBTC) copped in $4.28 million, according to the folks over at Farside Investors. Quite a turn from the heavy selling observed just days before, when 26 December saw a break-up valued at $275.9 million. Some declare it a capitulation point-because nothing says dramatic like a global financial lovers’ quarrel.

December’s Tumult versus New Year’s Optimism

To contextualize, December was fairly frosty. Spot Bitcoin ETFs blanched $744 million as investors fumbled in the dark with dropping prices and that usual “liquidity vacuum” between Christmas and New Year-a seasonal winter that affects wallets before the warming January sun.

Spot Ether (ETH) ETFs found their groove on 30 December, culminating a painful four-day outflow streak by attracting $67.8 million in net inflows. Come on, Ethereum, where were you? These funds shed over $196 million earlier, even shedding $95.5 million on 23 December-a rather extravagent he-flutter by any metric.

What’s Next?

Despite the institutional maneuvering, price action is treading water, the wait-and-see of individuals shielding their money from the icy December air. Bitcoin and Ethereum might have been awaiting December’s dust to settle under their digital feet. It confounds the logic: Bitcoin hasn’t fully reacted to the expanding money supply in major economies like the U.S., China, and Japan. Record-high global liquidity finds Bitcoin sitting 30% shy of its all-time high, like the one cousin at the family reunion who refuses to bring up the topic of Aunt Edna’s secret lasagna recipe. The fuel’s there, but the spark is shy.

Final Thoughts

  • Bizarrely, Bitcoin and Ether ETFs reversing from outflows to inflows-after torturous cycles-shows early institutional positioning. It’s like the skating rink’s on fire, but everyone carefully tested the ice first.
  • On-chain data suggests Bitcoin’s in “deep value” territory, historically linked to the kind of long-term major league lows you celebrate with a “job well done” and a nap, not with a last-minute dash to the dentist.

Read More

2026-01-01 09:16