SKN | Bitcoin and Ethereum Extend January-High Rally as Crypto Prices Surge

Key Points:

• Bitcoin opened at $86,597.82 on September 22, 2026, up 6.7% from Monday’s opening, before easing to $86,035.18 by 7:20 a.m. ET.
• Ethereum opened at $2,775.96, gaining 5% from Monday’s opening, before slipping to $2,734.44 in early trading.
• The rally comes as crypto markets absorb recent short liquidations, renewed institutional demand and shifting regulatory expectations, while macroeconomic risks remain relevant.

Bitcoin and Ethereum extended their recent recovery on Tuesday, with both assets trading at levels last seen around January as momentum carried the broader crypto market higher. Bitcoin opened at $86,597.82, while Ethereum began the session at $2,775.96, although both subsequently gave back part of their early gains.

Bitcoin Reaches an Eight-Month High

Bitcoin’s Tuesday opening represented a 6.7% increase from Monday’s opening price. By 7:20 a.m. ET, however, BTC had eased to $86,035.18, indicating some early-session profit taking after the sharp advance.

The move follows Bitcoin’s break above $85,000 on Monday, when the cryptocurrency reached its highest level since late January. CoinGecko data showed Bitcoin climbing as high as $86,965 on September 21, extending a recovery that has taken the asset substantially above the levels seen during the September selloff.

The rally has also been supported by the unwinding of bearish positioning. More than $600 million in crypto liquidations were reported over a 24-hour period during Monday’s advance, with short positions accounting for the majority of forced closures.

Ethereum Gains Momentum Alongside Bitcoin

Ethereum opened Tuesday at $2,775.96, approximately 5% above Monday’s opening level, before declining to $2,734.44 by 7:20 a.m. ET. The move extends a recent period of strength for ETH, which has benefited from the broader improvement in crypto market liquidity and risk appetite.

Ethereum had already crossed the closely watched $2,672 technical level on Monday, reaching approximately $2,719 intraday. The move represented a continuation of a six-session advance, although the weekly close remained below the $2,672 threshold at that stage.

The relative performance of ETH is also significant because it indicates that the recovery is extending beyond Bitcoin. Ethereum’s ability to maintain levels above its recent technical thresholds could provide a clearer indication of whether capital is rotating more broadly across large-cap digital assets rather than remaining concentrated in BTC.

Macro and Regulatory Risks Remain

The strength of the crypto rebound is notable because it has developed despite a more complicated macroeconomic backdrop. The Federal Reserve recently raised its benchmark interest rate, while the Bank of Japan also increased rates to a 31-year high. Meanwhile, the U.S. Senate’s failure to advance the CLARITY Act left significant questions around the timing of comprehensive federal crypto legislation.

At the same time, lower oil prices and easing pressure in some parts of the bond market have reduced some of the inflation concerns that previously weighed on risk assets. Bitcoin’s first weekly close above its 50-week moving average in 45 weeks has also added a technical dimension to the recovery.

What Crypto Investors Are Watching Next

The immediate question is whether Bitcoin can consolidate above the $85,000–$87,000 area while Ethereum holds its recent gains near $2,700. The distinction between a durable repricing and a rally driven partly by short covering will become clearer through subsequent trading sessions, particularly as leveraged positioning normalizes.

For institutional participants, ETF flows, spot-market volumes, Treasury yields, oil prices and regulatory developments remain important signals. Bitcoin’s ability to remain above its recent breakout levels, alongside Ethereum’s continued recovery, could determine whether the market’s return to January price territory develops into a broader repricing or encounters renewed selling pressure.