The cryptocurrency market is experiencing a notable rally today, December 10, 2025, with Bitcoin (BTC) briefly surpassing $94,000 before pulling back to around $92,000.
This surge has contributed to an estimated $60 billion increase in the total crypto market capitalization, pushing it above $3.1 trillion. The momentum aligns with broader risk-on sentiment in financial markets, driven by near-certainty over 96% odds of a 25-basis-point rate cut from the U.S. Federal Reserve at its meeting concluding today.
Markets are pricing in looser monetary policy, boosting appetite for high-risk assets like crypto. BTC’s price action outpaced derivatives open interest, indicating genuine spot buying rather than leveraged speculation.
A dovish Fed signal could extend the uptrend, though volatility is expected post-announcement. Bitcoin exchange-traded products (ETPs) saw net positive flows after weeks of outflows, with recent approvals from firms like Bank of America and Vanguard accelerating adoption.
Register for Tekedia Mini-MBA edition 19 (Feb 9 – May 2, 2026): big discounts for early bird.
Tekedia AI in Business Masterclass opens registrations.
Join Tekedia Capital Syndicate and co-invest in great global startups.
Register for Tekedia AI Lab: From Technical Design to Deployment (next edition begins Jan 24 2026).
On-chain data shows reduced selling pressure from large holders. Ethereum broke $3,300, while privacy coins like Zcash led gains (+12%+). Broader sentiment on X highlights short squeezes and cycle optimism, with users noting BTC’s defiance of earlier 2025 predictions— ARK Invest’s $650K call vs. current ~$92K reality.
The rally stalled near $94K due to profit-taking and bond market jitters like rising Japanese yields. A reclaim of $94K could target $95K–$100K liquidity zones, but rejection risks a dip to $88K–$85K support. Longer-term, analysts eye $111K by year-end if adoption accelerates, though 2025’s volatility underscores caution.
Ethereum (ETH) has outpaced the broader crypto market in December 2025, surging over 4.5% in the last 24 hours to briefly cross $3,300—its highest since early November—while the total market cap added $60B.
This momentum builds on a 10% weekly gain, driven by a confluence of technical upgrades, regulatory green lights, and institutional demand. Unlike Bitcoin’s more conservative climb, ETH’s rally reflects its utility as a programmable settlement layer, with on-chain activity spiking 15% week-over-week.
Ethereum’s latest hard fork, implemented on December 3, 2025, boosts scalability by expanding blob capacity from 6 to 14 per block via PeerDAS. This slashes Layer 2 fees by up to 95%, enhancing throughput to 100,000+ TPS in real-time environments like MegaETH.
Lower costs are sparking Jevons Paradox-style demand: cheaper transactions drive more DeFi, RWAs, and stablecoin activity, burning ETH via EIP-1559 and tightening supply. TVL on Ethereum L2s hit $45B post-upgrade, up 15% in a week, as chains like Base and Arbitrum see explosive growth in perps and tokenized assets.
The CFTC’s collateral pilot now allows BTC/ETH as margin in regulated derivatives, unlocking billions in TradFi liquidity—ETH futures volume on CME surpassed BTC for the first time. Spot ETH ETFs from BlackRock, Fidelity, and Franklin Templeton are live and staking-enabled, offering 4-5% APY to institutions, with $2.5B in whale accumulation during recent dips.
The GENIUS Act legalized U.S. Treasury-backed stablecoins like USDC, PYUSD, all routing through Ethereum for settlement, amplifying blockspace demand and ETH burns. Banks like JP Morgan are integrating ETH for loans and liquidity rails, citing its 10-year uptime.
With 96% odds of a Fed rate cut today, risk assets like ETH are rallying on looser policy expectations—mirroring historical +35% surges after Treasury yield drops. Developer activity hit 16,000 new contributors YTD, fueling L2 ecosystems. Stablecoin volume reached $2.82T in October, with RWAs tokenizing stocks and bonds exclusively on Ethereum’s secure stack.
Technicals show RSI at 62 and MACD crossover, with support at $3,000 and upside to $4,000 by month-end if Fed signals dovish. Risks include stake centralization and macro reversals, but fundamentals point to $5,000–$6,500 averages for 2025.