Crypto Crash Market Analysis: Performance of Major Cryptocurrencies

The crypto market has been down for a couple of days after starting 2025 on a high note. With negative performance for most cryptocurrencies, the red color takes over the crypto dashboard.

After starting 2025 on a high note, the crypto market has experienced a couple of down days. Most cryptocurrencies experienced negative performance, turning the crypto dashboard red. But is that significant alone? Not really. Here's a market analysis of some major cryptocurrencies impacted by the current market crash and what the numbers can tell us about their actual performance in 2025.

Crypto Crash Market Analysis: Performance of Major Cryptocurrencies

Bitcoin (BTC)

Being the market leader, Bitcoin has experienced a price correction. But how does the current BTC price compare to its past lows?

Bitcoin experienced lows of $14,069 in December 2024 and $11,844 in January 2024. However, despite the recent market crash, Bitcoin is still trading at higher levels compared to these past lows.

This resilience showcases the maturing market for top cryptocurrencies, where even amid volatility, prices remain stronger than in previous downturns.

Ethereum (ETH)

The second-largest cryptocurrency, Ethereum, has also faced bearish pressure. But again, let's compare the current ETH price to its past lows.

Ethereum experienced lows of $412 in December 2024 and $308 in January 2024. Despite the recent market crash, Ethereum is still trading at higher levels compared to these past lows.

This sustained strength further emphasizes the maturing market for top cryptocurrencies, where prices remain higher even amidst volatility.

The crypto market has faced significant declines since January 7, 2025, continuing into January 9. As per the previous market analysis of the downturn impact on the cryptocurrencies, what can be concluded is that market leaders Bitcoin (BTC) and Ethereum (ETH) have seen notable corrections, top altcoins like Cardano (ADA) and meme coin Dogecoin (DOGE) have been hit harder, amplifying the bearish sentiment. Yet, despite this, current prices remain higher than their lows from the previous month and the same period last year.

But what are the factors contributing to the crypto market crash? Let's explore three main factors.

Top 3 Factors behind the crypto market crash

1. Stronger U.S. Jobs Data

The U.S. job openings data, reported at 8.096 million, significantly surpassed the consensus estimate of 7.605 million. This strong jobs data has caused a shift in market optimism.

2. New Pandemic Fears

Concerns over a potential new virus, HMPV (Human Metapneumovirus), are unsettling global markets, evoking memories of early COVID-19 fears.

3. Rising Oil Prices

Actions by Russia and OPEC to tighten oil supplies have caused a surge in oil prices, which is impacting the broader market.

Additional Factors to the Crypto Market Downturn

Profit-Taking by Investors: After a period of gains in December 2024 and early January 2025, some investors may be cashing out on their profits, contributing to the sell-off.

Shifts in Market Sentiment: The crypto market is highly influenced by market sentiment, which can change rapidly based on news, rumors, and economic data.

Conclusion

The recent crypto market downturn is influenced by macroeconomic factors, including strong U.S. jobs data, pandemic fears, and rising oil prices. Bitcoin and Ethereum have shown resilience, maintaining higher levels than in previous months and years, but altcoins like Cardano and meme coins like Dogecoin have faced sharper declines.

This environment underscores the importance of monitoring economic indicators and remaining cautious in navigating the volatile crypto market.