Markets Steady After Rally; Gold, Tech Stocks Rise
**Markets Hold Steady After Record-Breaking Rally**
U.S. stock futures remained mostly flat on Wednesday following a strong two-day rally. The Dow Jones Industrial Average hit a new record, closing above the 49,000 mark for the first time ever at 49,484—up 1.04%. The S&P 500 also reached a fresh high, ending the session at 6,947 with a 0.66% gain. Meanwhile, the Nasdaq rose by 0.64% to close at 23,546, driven largely by strength in tech stocks.
Investor optimism continues from Monday’s positive momentum, supported by solid economic indicators and strong performance in the semiconductor sector. Market watchers are hopeful for strong Q4 earnings from major tech and AI companies, especially as big banks are set to kick off the earnings season next week. AI and data center stocks, which had slowed down in late 2025, are showing signs of renewed growth heading into 2026.
**Treasury Yields Mixed as Investors Watch the Fed and Global Events**
U.S. Treasury yields saw mixed movement across the curve. Short-term bonds attracted buyers, while some selling was seen in mid- to long-term maturities. The yield on the 10-year Treasury note ended Tuesday at 4.17%, and the 30-year bond settled at 4.85%.
Investors are keeping a close eye on upcoming economic data and international developments, especially in Venezuela. Uncertainty around Federal Reserve policy and concerns about a potential tech bubble have added volatility to the bond market, pushing investors toward short-term assets for safety.
**Oil and Gas Prices Slip Amid Supply Concerns**
Energy stocks lost ground on Tuesday after starting the week strong. Crude oil prices dropped due to fears of a global oversupply in 2026 and a lack of immediate supply threats from geopolitical tensions in Venezuela. Despite political issues there, Chevron confirmed it would continue its oil operations in the country.
Brent crude closed at $60.49, down 2.06%, while West Texas Intermediate (WTI) slipped 2.42% to $56.91. Natural gas also declined as warmer-than-usual weather reduced heating demand. Nat gas settled at $3.40, down 3.43%.
**Gold and Silver Stay Hot as Investors Seek Safety**
Precious metals continued their upward trend, fueled by ongoing central bank buying, increased retail interest, and global uncertainty. Gold rose nearly 1%, ending Tuesday at $4,492. Silver extended its strong rally with a 6.06% gain, closing at $81.18.
Both metals are benefiting from their status as safe-haven assets during times of market turbulence and geopolitical stress.
**Crypto Market Mixed as Traders Await Economic Data**
Cryptocurrencies were mixed on Tuesday ahead of key economic reports. Bitcoin remained steady in the $91,000–$92,000 range, while altcoins like XRP and Solana saw moderate gains.
Analysts believe the worst of last year’s crypto sell-off may be behind us, with some suggesting that a new upward trend is forming. As of 8:00 AM EST Wednesday, Bitcoin was trading at $91,940 and Ethereum at $3,212.
**Wall Street Analyst Ratings – Top Stock Changes**
Every day, Wall Street analysts issue updates on stocks based on new data or shifts in outlook. Here are some key upgrades and downgrades announced on Wednesday, January 7, 2026:
**Upgrades:**
– *Amcor plc (AMCR)* upgraded to Outperform from Neutral at Baird; price target set at $10.
– *Block Inc.* upgraded to Outperform from Neutral by BNP Paribas with an $82 target.
– *Colgate-Palmolive (CL)* moved to Overweight from Neutral by Piper Sandler; target raised to $88.
– *Hershey Company (HSY)* upgraded to Overweight by Piper Sandler; target now $213.
– *McDonald’s (MCD)* upgraded to Outperform from Perform by Oppenheimer; price target set at $355.
**Downgrades:**
– *Bank of America (BAC)* downgraded to Peer Perform from Outperform by Wolfe Research; target at $58.
– *BigBear.ai Holdings (BBAI)* lowered to Neutral from Overweight by Cantor Fitzgerald; target trimmed to $6.
– *Deckers Outdoors (DECK)* downgraded to Underweight from Neutral by Piper Sandler; target reduced to $85.
– *GitLab (GTLB)* cut to Neutral from Overweight by Cantor Fitzgerald; new target is $40.
– *Moderna (MRNA)* downgraded to Neutral from Buy by UBS; target price lowered to $34.
These analyst changes reflect shifting views on market conditions, company performance expectations, and broader economic trends.
Solana (SOL) Rebounds: Eyes $147 Breakout and More Gains
**Solana (SOL) Price Update: Strong Bounce Shows Promise for More Gains**
Solana (SOL) is currently trading between $138 and $139 after bouncing back from a recent low of around $117. While it’s down slightly today (about 0.5%), it’s still up roughly 11% over the past week. Its market cap is close to $77.8 billion, and daily trading volume ranges between $4.7 billion and $6.1 billion—signs that this rebound is supported by real interest, not just a temporary price squeeze.
**Short-Term Solana Price Movement and Market Behavior**
In the short term, SOL has been moving between $136.7 and $142.9. Buyers are actively stepping in when the price dips into the mid-$130s. Liquidity is strong, meaning large trades can happen without drastically moving the price. The recent rise from around $122 to $140 signals a shift in sentiment—from a steady downtrend to a phase where buyers are showing strength and defending key price levels.
**Solana Key Levels to Watch: Support, Resistance, and Bullish Targets**
The key support level for Solana sits at $117, which has proven strong in past sell-offs. As long as SOL stays above the $120-$124 range, the current move looks like a healthy correction, not a breakdown. Resistance is building between $138 and $144, with a major breakout trigger at $147. If SOL breaks above $147, it would confirm a shift into a bullish trend, potentially targeting the next resistance at $167—a gain of about 21% from current levels.
If momentum continues, SOL could move into the $180-$200 range. Some long-term predictions even target $250 by 2026, assuming network growth and favorable market conditions hold.
**Why Solana’s Bounce Is Real: Volume and Network Usage Confirm Strength**
This rally isn’t just about charts—it’s backed by real trading activity. Daily volume surged by over 50% on some platforms, showing both new buyers and short-sellers covering positions. On-chain activity also supports the move: validator performance is improving, NFT trading is active again, and DeFi usage on Solana is increasing. The blockchain’s advantage—fast transactions with low fees—is still a big draw compared to Ethereum.
When price, volume, and on-chain use rise together, it’s a strong sign that investors are paying for real utility, not just speculation.
**Bitcoin’s Strength Helps Solana Too**
Bitcoin holding above $92,000 adds to the positive setup for Solana. Even after geopolitical tension like a U.S. military strike in Venezuela, Bitcoin remained stable—suggesting that risk sentiment in crypto is strong. Institutional investment into Bitcoin ETFs continues to grow, signaling steady demand.
This matters for Solana because when Bitcoin is stable or rising, it often leads to capital rotating into other major altcoins like SOL. As long as Bitcoin stays above $90K and ETF flows remain positive, Solana has room to grow.
**Altcoin Trends: Microcaps Like RTX and DSNT vs. Large-Cap Solana**
While Solana remains a top-tier asset, some investors are chasing high-risk, high-reward microcaps like Remittix (RTX) and DeepSnitch AI (DSNT). RTX is priced at $0.119 with over $28 million raised and plans to launch its PayFi platform in 2026. DSNT is gaining attention with a 116% presale increase and tools that track whale wallets and crypto sentiment.
These smaller tokens might temporarily steal attention from large caps like SOL. But when early investors take profits from microcaps, they often move capital into safer plays like Solana—supporting SOL’s role as a long-term portfolio core.
**Risks That Could Hurt Solana’s Bullish Setup**
Solana’s current bullish case depends on several factors staying in place:
– If SOL drops below $117 with heavy selling, the bullish setup would likely fail.
– Multiple rejections near $145-$147 would suggest the market isn’t ready to go higher.
– A major drop in Bitcoin or ETF outflows could also drag Solana lower.
– Technical issues on the Solana network—like outages or validator problems—could weaken investor confidence.
– A surge in speculative interest in microcaps could slow SOL’s rally as capital moves elsewhere.
**Should You Buy Solana? Clear Risks But Bigger Rewards**
Right now, Solana looks like a solid buy for those who manage risk carefully. At $138-$139, downside risk to the key support at $117 is about 15%, while potential upside to $167 offers around 21%. If momentum continues past that level, gains could stretch into the 30%-45% range with a possible longer-term move toward $250—a nearly 80% increase from current prices.
As long as SOL holds above $117-$124 and Bitcoin stays strong above $90K with healthy ETF flows, the path forward for Solana remains positive. A clean break above $147 would confirm bullish momentum and open the door for more upside toward $167 and beyond.
Crypto 2025: RWAs, ETFs, and Stablecoins Reshape Markets
In 2025, the crypto industry hit a major turning point. Spot ETFs, stablecoins, and tokenized real-world assets (RWAs) became central to how money flows into crypto. Big institutions went from being cautious to fully integrating digital assets into their strategies. This shift kicked off a broad repricing across the market, driven by crypto blending more with traditional finance and real-world use cases.
Crypto is no longer a niche market. To understand it today, you also need to follow gold, U.S. stocks, and interest rates. These influence how money moves in and out of crypto.
Gold saw massive gains from 2023 to 2025, jumping around 150%. This wasn’t just a typical commodity boom — it was a response to deeper fears about currencies and government debt. Central banks bought over 1,000 tonnes of gold in 2024 and kept buying in 2025, signaling a shift away from the U.S. dollar. With a market cap of over $31 trillion, gold’s rally was mostly about long-term strategy, not short-term hype.
U.S. stocks also rose in 2025, with the S&P 500 up nearly 20% including dividends. But gains were uneven — most of the growth came from big tech and AI companies. The Nasdaq did even better, gaining around 22%, driven by excitement around AI, semiconductors, and cloud tech. Still, the broader market lagged behind.
The economy looked disconnected from these gains. Valuation metrics like the Buffett Indicator reached risky levels. Gold’s surge suggests investors are worried about stocks overheating, and some are turning to Bitcoin as a hedge.
Bitcoin had a wild year. It hit an all-time high above $126K but dropped back to around $90K by year-end. Despite strong ETF inflows and growing institutional support, it ended the year slightly down. This suggests Bitcoin may be acting more like a stress indicator for the broader financial system than a simple risk-on asset.
Institutional activity played a big role in Bitcoin’s performance. Spot ETFs attracted billions, and corporations added Bitcoin to their reserves. However, the price still faced sharp drops, showing that long-term adoption doesn’t eliminate volatility.
Ethereum also had a bumpy ride. It started 2025 above $3K, dropped to $1.5K during a market sell-off, then hit a new high of $4.9K in August before sliding back near $3K. But behind the scenes, Ethereum made strong technical progress. Upgrades like Petra and Fusaka improved speed and reduced gas fees. Ethereum stayed dominant in DeFi and Layer-2 development.
Treasuries holding ETH grew fast — from under 1% to over 4% of total supply by October — even surpassing Bitcoin treasury holdings. ETH treasuries can earn passive income through staking and DeFi yields, adding new value streams.
Digital asset treasuries (DATs) also became more important for other tokens. Unlike ETFs, DATs can actively manage capital, but they’re sensitive to market changes and regulation. Today they help prices go up, but if things turn south, they could accelerate losses.
DeFi also shifted. In 2021, TVL (total value locked) was spread across DEXs and yield farms. By 2025, most of the TVL is in lending, liquid staking, and restaking — areas where capital stays put longer. Aave, Lido, and restaking platforms lead this trend.
BNB Chain made a strong comeback in 2025. It led all chains in daily users and hit record highs in stablecoin supply and TVL. Its growth was powered by the Binance Alpha program and the launch of Aster, a new perpetual DEX backed by CZ. Aster drew huge volumes and helped push BNB’s price to a record $1,369 in October before retracing.
Technical upgrades like Lorentz and Maxwell improved BNB Chain’s speed and cut fees significantly. An upcoming Fermi upgrade aims for even faster finality and higher throughput.
Solana had a rollercoaster year too. It started strong with memecoin mania but saw a crash as hype faded. Still, Solana ended as the top chain by DEX volume with $1.55T traded and $1.3B in revenue. Innovations like prop AMMs — which manage liquidity internally — helped boost trading efficiency.
SOL hit a high of $293 in January but dropped to $100 before recovering to $130 by year-end. The launch of Solana ETPs and ETFs helped attract institutional interest late in the year.
Base had its best year yet, becoming the top Layer-2 chain by revenue and fifth overall by TVL at $10B. Backed by Coinbase, Base integrated directly into the Coinbase app and rebranded its wallet as Base App to drive adoption.
Base also introduced x402 — a protocol for per-request payments using stablecoins — aimed at powering APIs and services on-chain without subscriptions or accounts.
The long-awaited altcoin season didn’t happen in 2025. While some tokens hit new highs briefly (like BNB and SOL), most fell back hard. Bitcoin dominance stayed above 50%, and altcoins struggled due to capital fragmentation and weak demand.
A flood of new tokens diluted attention and liquidity. Most new coins quickly dropped below their launch price. High-FDV tokens gave early investors most of the gains while public markets got stuck with limited upside.
Retail investors shifted focus from altcoins to memecoins early in the year but later moved on entirely as those markets collapsed too. Institutional money focused on safer bets like ETH, SOL, XRP, and tokenized treasuries.
ETF inflows boosted markets during summer but reversed in November with $3.5B in Bitcoin outflows, followed by another $1.1B in December — stalling the recovery.
Some token sectors still performed well — privacy coins like ZEC (+861%) and XMR (+123%) surged as users looked for privacy-focused alternatives amid rising concerns around surveillance and compliance.
RWAs were one of 2025’s strongest growth areas. The total value tripled from $5.6B to $18.7B, led by tokenized U.S. Treasuries worth $8.5B. Other segments like commodities, institutional funds, and private credit also grew rapidly.
Ethereum remained the top RWA chain with over $12B hosted on its network. Still, fragmentation remains an issue — RWAs live on multiple chains with different standards, creating inefficiencies.
Stablecoins became the backbone of crypto in 2025 thanks to regulatory clarity from the U.S. GENIUS Act and Europe’s MiCA law. These frameworks gave stablecoins legal status and opened doors for wider adoption.
Stablecoin market cap jumped 50%, led by USDT (from $137B to $187B) and USDC (from $44B to $76B). Activity exploded: 44M active users sent over $11T across 2.2B transactions in 2025 alone.
BNB Chain overtook TRON as the top chain for stablecoins by activity growth, while Ethereum still held the largest share of supply at over $170B.
Prediction markets came back strong in 2025 after dipping post-election in 2024. Platforms like Polymarket and Kalshi led the way with record-breaking months — November alone saw over $14.5B traded.
Polymarket returned to the U.S. after getting CFTC approval and raised over $2B at a $9B valuation during the year. It plans to launch its POLY token in 2026 with possible user airdrops.
Kalshi raised over $1B this year with major VC support and grew fast through sports markets and partnerships like Robinhood integration. It’s also testing on-chain contracts via Solana.
New players like Opinion and Probable are gaining traction as well.
Perpetual DEXs took off again in 2025 with volumes soaring from $89B in October 2024 to $1.8T by October 2025 — a 20x jump as traders left memecoins behind for leverage plays.
Hyperliquid remained a top performer with $2.9T traded but started losing steam as rivals like Aster and Lighter launched with aggressive rewards.
Aster quickly ranked among the top three perp DEXs after launching its token in September with explosive volume growth.
Lighter offered zero-fee trading powered by Payment for Order Flow (PFOF), making it attractive to high-volume traders looking for cost savings.
Looking ahead, institutional adoption will continue driving crypto growth — especially in RWAs, stablecoins, regulated DeFi products, payments infrastructure, and custody tools built for enterprises.
Retail crypto is shifting too — away from speculative games toward real-world finance use cases like payments, savings, and secure investments that mirror traditional finance.
As protocols generate real revenue streams through mechanisms like token buybacks or fee sharing — backed by clear regulation — crypto could enter a new phase focused more on economic value than hype-driven speculation.
Lloyds Leads Banking Revolution with Blockchain Tech
Blockchain technology is no longer just for crypto traders and tech enthusiasts. Big banks are now using it to solve real problems—and Lloyds Banking Group is leading the charge. While most people are watching Bitcoin prices and meme coins, Lloyds is quietly building a future where banking is faster, safer, and more efficient.
In late 2025, Lloyds CEO Charlie Nunn revealed that the bank had successfully tested tokenized deposits across the UK. These are digital versions of your regular bank deposits, stored securely on a blockchain. The full rollout is planned for 2027. Nunn said this new tech, especially when combined with artificial intelligence, could cut down the time it takes to buy a home from weeks to just a few days. It could also remove the need for middlemen in the mortgage process—much like how smartphones changed how we communicate.
Lloyds isn’t alone. Other financial giants like JPMorgan and BlackRock are also bringing blockchain into traditional finance. But instead of trying to replace banks like decentralized finance (DeFi) platforms do, these institutions are using blockchain to improve what they already offer.
**Tokenized Deposits vs. DeFi Lending**
Lloyds’ main focus is on tokenized deposits—digital assets backed by real money and recorded on a blockchain. These aren’t just crypto coins; they’re controlled, secure, and regulated. In September 2025, UK Finance launched a trial with six major banks, including Lloyds, to test how tokenized payments could speed up processes like remortgaging and fraud prevention.
On the flip side, decentralized platforms like Aave offer lending and borrowing without any central authority. By May 2025, Aave handled about $25.4 billion in assets, making up nearly half of all DeFi activity. Everything happens automatically through smart contracts—no paperwork, no approvals, just code.
DeFi is fast and open to anyone with internet access and a crypto wallet. But it comes with risks. If you lose your login keys or fall victim to a hack, there’s no one to call for help. Billions have been lost due to bugs and scams in the DeFi world.
That’s why banks like Lloyds think they can offer the best of both worlds: speed and efficiency from blockchain, but with the safety net of regulation and customer protection. Tokenized deposits could allow instant transactions while still being insured and traceable if something goes wrong.
**Real-World Asset Tokenization Grows Fast**
Lloyds is also exploring other uses for blockchain. In July 2025, it completed a major transaction using tokenized UK government bonds and money market fund units as collateral for foreign exchange trades. This was done on Hedera Hashgraph, a secure blockchain platform. It marked a big step forward for regulated digital finance.
Tokenizing real-world assets is one of the fastest-growing areas in blockchain. Assets in tokenized money market funds jumped from $4 billion at the start of 2025 to $8.6 billion by November. JPMorgan launched its own tokenized fund on Ethereum with $100 million, while BlackRock’s BUIDL fund reached $2 billion.
Unlike synthetic assets in DeFi—which mimic real assets without actually holding them—these tokenized products are backed by actual securities stored by trusted institutions. That makes them much more appealing to large investors who need clear legal ownership and strict compliance.
**Different Goals, Different Strengths**
When comparing traditional banks using blockchain versus DeFi platforms, it’s clear they serve different purposes.
DeFi shines when it comes to accessibility and innovation. Anyone around the world can use it without needing approval from a bank. You have full control over your money, and developers can launch new ideas quickly. But it also comes with risks like theft, bugs, and lack of regulation.
Traditional banks using blockchain aim for safety, compliance, and better service for everyday users. Their systems are slower to change but offer protections that many people trust—like deposit insurance and customer support.
Lloyds’ plan to use tokenized deposits for mortgages shows this clearly. Sure, someone could try to build a decentralized mortgage service—but would buyers or regulators trust it? Probably not yet. Lloyds wants to keep the traditional protections in place while making everything work faster and smoother with blockchain tech.
**Merging TradFi and DeFi**
The real story isn’t about traditional finance versus decentralized finance—it’s about how both are starting to connect. In 2025, JPMorgan partnered with Chainlink and Ondo Finance to bridge these worlds. BlackRock’s tokenized fund is now accepted as collateral on crypto exchanges.
These connections between traditional finance (TradFi) and decentralized finance (DeFi) are growing quickly. Lloyds’ aggressive push into blockchain shows that big banks see Web3 as an opportunity—not a threat.
By 2027, if Lloyds successfully launches tokenized deposits across its network, it could set a new standard for retail banking in Europe and beyond. While some crypto fans say banks are missing the point of decentralization, others see this as solving real-world problems in a safer way.
Not everyone wants to be their own bank. Most people just want banking that’s faster, cheaper, and more reliable. If blockchain can deliver that through regulated institutions like Lloyds, it may be the version of blockchain finance that reaches the masses first.
The future of finance isn’t about choosing between TradFi or DeFi—it’s about how both can evolve together to meet different needs. With Lloyds betting big on blockchain infrastructure, we’ll soon see whether this hybrid approach can truly deliver better banking for everyone.
3 Key Factors Shaping Crypto’s 2026 Outlook
Crypto markets kicked off 2026 with strong momentum, and according to Bitwise’s Chief Investment Officer, Matt Hougan, the next big move for digital assets like Bitcoin, Ethereum, and Dogecoin depends on three major factors — and they have little to do with technical charts. Instead, it’s about market stability, government regulation, and the overall economic environment.
As of January 5, Bitcoin and Ethereum had each gained 7% since the start of the year, while Dogecoin surged by 29%. These gains have sparked optimism, but the big question is whether this growth can last or if it’s just a short-lived January boost.
**Three Big Factors That Could Shape Crypto in 2026**
**1. Market Stability After a Major Crash**
Hougan pointed to a major event from late 2025 — October 10 saw the largest liquidation in crypto history. Around $19 billion in crypto futures were wiped out in one day. This massive crash not only damaged prices but also scared investors, who feared that big players like hedge funds or market makers might collapse and be forced to sell off more assets.
But Hougan believes that fear has mostly passed. If any major firm were going to shut down because of that crash, they likely would’ve done it by the end of 2025. The fact that the market has bounced back in early 2026 shows investors are moving on. He called this a “Green Light,” meaning it’s no longer a big concern holding crypto back.
**2. U.S. Crypto Regulation: The CLARITY Act**
The second key factor is progress on U.S. crypto regulation — specifically, a bill called the CLARITY Act. This legislation aims to set clearer rules for how crypto is handled in the U.S., including how decentralized finance (DeFi), stablecoins, and rewards are regulated.
The bill is currently making its way through Congress. There are still debates and disagreements, but if it passes a key stage called “markup” around January 15, it could be a big step toward approval.
Hougan says passing this bill is crucial for crypto’s long-term success in the U.S. Without it, future political changes could undo the recent progress made by pro-crypto regulators. If the CLARITY Act becomes law, it will create a solid legal foundation for continued growth in the industry.
There’s growing optimism about its chances. Government officials are saying it’s closer than ever to passing, and prediction markets estimate a nearly 50% chance of approval by May and over 80% by the end of 2026. Hougan considers this factor a “Yellow Light” — progress is being made, but it’s not guaranteed yet.
**3. Stock Market Stability**
The third factor is broader economic stability — especially in the stock market. While crypto doesn’t always move in sync with stocks, a major drop in markets like the S&P 500 could hurt all risk assets, including cryptocurrencies.
Hougan doesn’t claim to be an expert on stocks but notes that while some investors worry about an AI-driven bubble, most predictions show low chances of a recession and high chances of stock market gains in 2026. Still, if there’s a sudden 20% drop in stocks, crypto could take a hit too.
For now, he labels this another “Yellow Light” — things are looking fine, but caution is still needed.
**A Positive Outlook If These Hurdles Are Cleared**
Despite these challenges, Hougan sees strong potential for crypto growth this year. He highlighted several bullish trends: more institutions getting involved with crypto, increasing use of stablecoins and blockchain-based assets (tokenization), and benefits from recent regulatory support starting to take effect.
If these three key issues — avoiding another market crash, passing the CLARITY Act, and maintaining economic stability — are resolved or move in a positive direction, Hougan believes crypto’s early 2026 momentum could turn into a long-lasting bull run.
At the time of writing, Bitcoin was trading at $91,717.