The cryptocurrency market opens up for growth: Matrixport analysis shows historical chances after mass liquidation of leveraged positions

quietly_staking · 2026-01-19T14:00:45+00:00

The entry into 2026 has transformed the futures market, with significant reductions in leveraged positions for Bitcoin and Ethereum. This decline signals a stabilization and return to fundamental market dynamics, creating conditions favorable for medium-term growth in cryptocurrency values.

quietly_staking

2026-01-19 14:00:45

Abstract generation in progress

Entering 2026 has brought significant transformations to the futures contract market. According to the Matrixport report, nearly 30 billion dollars worth of leveraged positions on Bitcoin and Ethereum futures were closed since the October peak, creating a fundamentally different market dynamic.

Low leverage as a sign of stabilization

The current situation is markedly different from previous cycles. Speculative engagement has decreased significantly, and market participants are adopting a more cautious stance. This low intensity of leveraged positions suggests that crowded trades are gradually being liquidated. Bitcoin, currently trading around $93,030, and Ethereum at $3,220, reflect a more balanced valuation of assets.

Shift to natural market rhythms

When positions become lighter and speculative excess diminishes, markets gain the ability to revert to fundamental patterns. Matrixport emphasizes that the start of the year with lower leveraged positions typically favors the end of the market rebalancing process. This elimination of extreme positions opens space for more organic price movements.

Growth potential in the medium-term perspective

As pressure from speculators weakens, the price movements of Bitcoin and other cryptocurrencies may return to less distorted trajectories. This low leverage at the beginning of 2026 creates ideal conditions for investors seeking a more predictable environment. Market analysts see this period as a turning point for the potential increase in cryptocurrency values over the coming quarters.

BTC0,1%

ETH-1,39%

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