The crypto market has faced another price crash today, with Bitcoin (BTC) falling to the $90,000 price level. BTC had climbed to the $94,000 mark on Jan. 6, but faced substantial resistance. According to GoinGecko, the global crypto market cap has fallen by nearly 2% in the last 24 hours to $3.2 trillion. Let’s discuss why the crypto market is struggling, and if it can recover anytime soon.
Can The Crypto Market Recover From The Crash Soon?
The market rally in early January was likely due to a spike in investor sentiment for the new year. Moreover, we also saw increased ETF inflows as we entered 2026, which may have also propelled the cryptocurrency market.
Despite the bullish start to the year, the crypto market is still quite fragile and far from fully recovered after the October 2025 crash. Market participants have moved to safe havens such as gold and silver. The exodus is evident from the fact that gold and silver have hit multiple all-time highs since October 2025. Macroeconomic uncertainties and slow economic growth seem to be pushing investors away from risky assets, such as cryptocurrencies.
It is unclear if the crypto market will recover from its crash anytime soon. The Jan 6. rally showed signs of a market-wide recovery, but the upswing was short-lived. The cryptocurrency sector is plagued with volatility, hence it is difficult to make precise predictions. However, the current market predicament is largely due to the larger economy. Investors are not confident on crypto, given the poor economic condition. If the larger economy improves, investors may regain confidence to enter the cryptocurrency market again.
Also Read: Top 3 Cryptocurrencies That Could Hit All-Time Highs in 2026
CoinCodex analysts are quite bullish on Bitcoin (BTC). The platform anticipates the original cryptocurrency to reclaim the $100,000 mark on Jan. 12, 2026. BTC hitting the $100,000 price level could trigger a larger market-wide rally.
