Crypto started 2026 on a strong note after a sluggish end to last year. Institutional selling slowed and global tensions pushed bitcoin back into the spotlight as a hedge, raising the question of whether this move is seasonal, or the start of a broader trend.
Why crypto turned green at the start of the year ?
Crypto kicked off 2026 with broad gains as selling pressure eased after a weak end to 2025. Many institutional investors had been selling late last year, including tax-loss selling and year-end rebalancing, capping prices. Once 2026 began, that selling slowed down and buyers pushed the market higher, helping BTC, ETH, and XRP rise early in the year.
Another reason is the U.S. strike on Venezuela, which likely added to the safe-haven bid for bitcoin. In addition, gas prices play a big role in inflation, and Venezuela, home to the world’s largest proven oil reserves, is back in focus as changes in global oil supply could push energy prices lower. Combined with a weakening U.S. job market, this strengthens expectations of future Fed rate cuts.
Other Top News:
● Ledger customers have received alerts about a fresh data exposure tied to third-party retail and e-commerce platform Global-e.
● Major accounting and consulting firm PwC is leaning into more crypto-related work after years of caution.
● Japan’s finance minister backs crypto integration across stock exchanges.
One more reason to buy crypto early
Below is a 5-year CAGR chart, which shows average annual returns for some cryptocurrencies if you held them for 5 years. It tells a simple story : over time, annual returns tend to decline as assets mature. Bitcoin and Ethereum now sit around 20-30% 5-year CAGR, far lower than in their early days, yet still ahead of major U.S. stock indices. Even gold, despite a strong last year, still falls behind Bitcoin when it’s 3+ year CAGR.
Newer assets often show higher growth early on — Solana’s ~170% 5-year CAGR is a good example. But history shows that waiting usually means entering later, when returns could be lower.
The takeaway : waiting has a cost.