CryptoQuant: Bitcoin Price May Trade Sideways as Inflows Decline

TLDR

• CryptoQuant CEO Ki Young Ju said Bitcoin may trade sideways through the first quarter of 2026.
• He explained that capital inflows into Bitcoin have slowed as investors shift focus to equities and precious metals.
• Bitcoin was trading around $90,900 at the time of the statement and was down over 2 percent on the day.
• Historical data shows Bitcoin usually posts gains in early months but that trend may not continue this year.
• Analysts Peter Brandt and Jurrien Timmer warned that Bitcoin could revisit the $60,000 to $65,000 range.

Bitcoin could face a flat start to 2026 as capital inflows weaken, shifting attention to equities and precious metals, according to CryptoQuant. The firm’s CEO, Ki Young Ju, said Bitcoin might trade sideways through the first quarter, lacking strong buying momentum. Institutional inflows remain, but recent data signals traders remain cautious while long-term holders remain optimistic.

CryptoQuant Expects Weak Q1 Momentum for Bitcoin

CryptoQuant CEO Ki Young Ju said on Wednesday that Bitcoin is unlikely to see sharp price moves early this year. He pointed to slower capital inflows as a key factor behind the expected lack of volatility. “Capital inflows into Bitcoin have dried up,” Ju stated, highlighting the recent rotation toward stocks and metals.

Bitcoin was trading near $90,900 at the time, down 2% on the day, with a recent high of $94,400. Although past Januarys have delivered gains, Ju expects lower activity and less movement this time.

While past years saw average January returns of 3.8%, Ju believes those trends may not hold in 2026. February and March have previously averaged 13.1% and 12.2% returns, according to CoinGlass. But those patterns may break if investor interest continues shifting.

Analysts Signal Possibility of Short-Term Pullbacks

Veteran trader Peter Brandt and Fidelity’s Jurrien Timmer both expect price dips in the coming months. They warned Bitcoin could revisit the $60,000–$65,000 zone during the year. These forecasts align with weak sentiment data across the market.

The Crypto Fear & Greed Index scored 28 on Thursday, marking a continued trend in the “fear” range. It has stayed between fear and extreme fear since November 2025. This reading suggests traders remain hesitant even after last year’s rally.

Despite this, some metrics show ongoing institutional support for Bitcoin ETFs. Farside Investors reported $925.3 million in net ETF inflows during the first three trading days of 2026. This points to interest from long-term investors, even as short-term sentiment fades.

Long-Term Bulls Still Back High 2026 Bitcoin Price

Tim Draper repeated his $250,000 price target, saying Bitcoin remains on track for a breakout year. He has maintained this forecast despite past volatility and slow starts. His stance reflects ongoing optimism among long-term holders.

Bitwise’s Ryan Rasmussen argued that Bitcoin could break from its usual four-year cycle this year. He expects the price to push past past highs, potentially rewriting expectations. This view differs from those who see limited price movement in early 2026.

Abra CEO Bill Barhydt added that looser monetary policy may support Bitcoin gains this year. He said the Federal Reserve is already preparing to ease conditions. This may increase liquidity and bring renewed interest in crypto markets.

Barhydt believes easier policy could drive fresh capital toward digital assets by midyear. For now, Bitcoin trades between $90,000 and $94,000.

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