The CFTC is looking to invite Tyler Winklevoss, Shayne Coplan, Kris Marszalek, 
and other crypto leaders to assist its approach to regulating the blockchain 
industry.

CFTC forms innovation committee to help shape rules for crypto, AI

Bitcoin has entered a fresh bout of volatility after a rare and highly charged 
response from Jerome Powell, following reports that federal prosecutors have 
opened a criminal investigation related to his conduct as Federal Reserve 
Chair. In a direct and unusually pointed statement, Powell said: “The threat 
of criminal charges is a consequence of the Fed setting rates based on our 
best assessment of what will serve the public, rather than following the 
preferences of the President.” Related Reading: CVDD Model Signals Bitcoin Is 
Not Yet Deeply Undervalued: Drawdown Lags Historical Cycles The market 
reaction was immediate. Bitcoin dropped from the $92,500 area to nearly 
$90,500, reflecting heightened uncertainty as traders reassessed political and 
macro risks. The move interrupted an otherwise stable consolidation phase and 
reintroduced volatility at a moment when BTC was attempting to build support 
above the $90,000 level. What makes this episode particularly notable is the 
shift in Powell’s public stance. Over the past 12 months, despite repeated 
criticism from President Trump, Powell consistently declined to engage, often 
responding with variations of “I have no response or comment.” That long- 
standing silence broke yesterday. As markets digest the implications, Bitcoin 
now finds itself at the intersection of macro policy, political pressure, and 
investor psychology. The next reaction—both from policymakers and from risk 
assets—could prove decisive for short-term price direction. Retail Fear 
Persists as Short-Term Holders Capitulate Within the Uptrend A recent 
CryptoQuant analysis adds another layer to the current political and macro- 
driven volatility, revealing that retail investors remain fearful of short- 
term price swings even as Bitcoin maintains a broader upward structure. The 
Short-Term Holder SOPR (STH SOPR) highlights a recurring behavioral pattern 
that tends to appear during corrective phases within a larger bull trend. 
Despite Bitcoin printing higher highs and higher lows throughout 2024 and 
2025, short-term investors have been consistently realizing losses. Toward the 
end of last year, retail sentiment deteriorated sharply, with the STH SOPR 
dropping to around 0.98. Levels last seen in November 2022, when Bitcoin was 
trading near $16,000. While the indicator has not fully entered extreme 
capitulation territory below 0.98, it has remained under the neutral 1.00 
level for more than 70 days, signaling sustained selling at a loss. This 
divergence is critical when STH SOPR remains below 1.00, coinciding with 
extended consolidations or corrective phases, driven by heightened pressure 
since Bitcoin broke above its previous all-time high. Historically, periods 
where STH SOPR stays below 1.00 coincide with extended consolidation or 
corrective phases, driven by elevated fear and realized losses. However, 
during the current uptrend, these episodes have repeatedly marked favorable 
accumulation zones. The mismatch between rising prices and capitulating retail 
behavior often reflects opportunity rather than weakness. This highlights 
Bitcoin’s underlying structural strength despite short-term volatility. 
Related Reading: Ethereum Long-Term Cost Basis Holds Firm: Structural Floor 
Forms Near $2.8K Bitcoin Consolidates Below Key Resistance as Volatility 
Compresses Bitcoin’s weekly chart shows the market in a consolidation phase 
following a sharp correction from the October highs near $120,000. After 
losing the $100,000 psychological level, BTC found demand in the low-$80,000s 
before rebounding toward the $90,000–$94,000 range, where price is currently 
stalling. This zone has clearly become a short-term equilibrium. With buyers 
defending higher lows but struggling to generate enough momentum for a 
decisive breakout. From a trend perspective, Bitcoin remains below the 50-week 
moving average, which is now acting as dynamic resistance around the 
mid-$90,000 area. In contrast, the 100-week moving average continues to slope 
upward well below the price. Reinforcing the idea that the broader macro trend 
remains intact despite recent weakness. The 200-week moving average, far 
lower, continues to define the long-term bull market structure. Related 
Reading: Bitcoin Remains In A High-Risk Zone As Short-Term Holders Stay 
Underwater Volume has compressed significantly during this consolidation, 
suggesting reduced participation and indecision. This typically precedes a 
volatility expansion rather than a continuation of slow, sideways trading. As 
long as BTC holds above the rising 100-week moving average, downside appears 
structurally limited. Failure to reclaim the $94,000 resistance zone would 
keep the market vulnerable to another leg of consolidation before a 
sustainable trend resumes. Featured image from ChatGPT, chart from 
TradingView.com

Trump-Powell Conflict Fuels Volatility While Retail Sells Bitcoin At A Loss – Details

Ripple presses U.S. regulators to redraw the boundaries of crypto oversight, 
arguing securities laws should hinge on enforceable legal rights — not 
speculation, decentralization, or trading behavior — and warning that blurred 
lines could permanently expand SEC jurisdiction. Ripple Urges SEC to Tie 
Crypto Regulation to Legal Rights, Not Speculation Ripple submitted a letter 
to […]

Ripple Urges SEC to Separate Crypto Assets From Securities Transactions

Coinbase is pressuring U.S. lawmakers as Congress prepares to release a major 
crypto market-structure bill on Jan. 12. Banking Lobby vs. Crypto Firms 
Coinbase is ramping up pressure on U.S. lawmakers as Congress prepares to 
unveil a sweeping crypto market-structure bill. At issue: whether exchanges 
like Coinbase can continue offering rewards to customers who hold […]

Coinbase Threatens to Pull Support for Crypto Bill Over Stablecoin Rewards

Crypto analyst DOGECAPITAL has drawn attention to a Fibonacci level that 
indicates that the Dogecoin price top is above $10. The analyst also 
highlighted the meme coin’s performance during past bull cycles to explain why 
it could rally to double digits. Dogecoin Price Eyes Rally Above $10 Based on 
These Fibonacci Extensions In an X post, DOGECAPITAL predicted that the 
Dogecoin price could rally above $10, which would mark the top for the 
foremost meme coin. This came as he noted that the monthly DOGE chart 
highlights where major cycle peaks have historically formed using Fibonacci 
extensions and that this pattern is “remarkably consistent.” Related Reading: 
Dogecoin Rapid Accumulation Suggests Sharp Upward Sweep Is Coming The crypto 
analyst mentioned that in the first cycle, the Dogecoin price topped exactly 
at the 4.236 Fibonacci level. In the second cycle, DOGE is said to have peaked 
again at the 4.236 Fibonacci level. DOGECAPITAL remarked that this pattern 
isn’t random but rather a structural behavior. He then stated that if this 
pattern continues into the next cycle, the data strongly suggests that the 
Dogecoin price’s upcoming cycle top could again align with the 4.236 Fibonacci 
level, which currently sits at $33.25. DOGECAPITAL added history doesn’t 
repeat perfectly, but it often rhymes. In this case, DOGE has followed its 
long-term Fibonacci structure with “near-perfect accuracy,” which is why he is 
confident that the meme coin could reach this price target. Meanwhile, it is 
worth mentioning that DOGECAPITAL’s accompanying chart showed that the 
Dogecoin price could reach this $33.25 target between now and 2028. 
Interestingly, the chart showed that DOGE could rally to as high as $100 if it 
reaches the upper boundary of the ascending channel. A rally to these targets 
would mark new all-time highs (ATHs) for the meme coin, whose current ATH is 
$0.74. Market Cap Doesn’t Matter For DOGE A potential Dogecoin price rally to 
$33.25 would give the meme coin a market cap of around $5.6 trillion. However, 
DOGECAPITAL stated that market cap has never dictated how DOGE moves. He said 
that if it did, half the insane runs in crypto wouldn’t exist. The analyst 
noted that Shiba Inu exploded to a massive valuation in 2021 with no 
“realistic” justification, yet the market still sent it to such highs. Related 
Reading: Analyst Says the Worst Is Over For Dogecoin, Predicts Rally To $0.8 
DOGECAPITAL stated that his focus is on the long-term Fibonacci structure and 
that the Dogecoin price has topped at the 4.236 Fib level in two separate 
cycles. He added that this is the entire point of the chart and that it is not 
tied to any quarter, fundamentals, or market cap logic. The analyst also 
claimed that short-term volatility doesn’t erase a decade-long pattern and 
that if the Fib structure breaks, he will adjust accordingly. At the time of 
writing, the Dogecoin price is trading at around $0.14, up in the last 24 
hours, according to data from CoinMarketCap. Featured image from iStock, chart 
from Tradingview.com

Cryptocurrency price in BTC