Morning Crypto Update: Bitcoin Dips to Unusual $24,111 on Binance, XRP Declines -26%: Death Cross Forecast, Cardano (ADA) Shows Promise for January

The cryptocurrency market remains active, even during the holiday season. Recently, a remarkable chart from Binance showed Bitcoin's price plunging to a notably low $24,111, despite overall market stability. Meanwhile, XRP is approaching a concerning "death cross" in its price trend, and Cardano (ADA) is historically positioned to perform well in January.

Key Takeaways

On December 25, Bitcoin experienced a temporary drop to $24,111 on Binance due to a localized trading issue.
XRP is showing signs of a "death cross," predicting potential downward movement, with a 26% decrease target towards its 200-week moving average.
Cardano (ADA) has historically seen a positive trend in January, creating potential for growth this upcoming month.

Market Analysis

Cryptocurrency markets can behave unpredictably, especially during the holidays. On December 25, a Binance chart highlighted a peculiar moment for Bitcoin: it briefly dropped to $24,111 on the world's largest exchange. This significant decrease appeared alarming but didn't indicate a wider market crash; instead, it was linked to a single trading pair’s liquidity.

During this time, XRP's pricing structure is worsening, approaching a classic "death cross," indicating a bearish outlook. In contrast, January historically offers a positive narrative for Cardano, as it often conveys optimism for market reversal trends.

The standout moment occurred in Binance’s BTC/USD1 market. According to TradingView, the last recorded price for BTC/USD1 was around $87,611.91, featuring a high of $87,995.24 and, perplexingly, a low of $24,111.22 within 24 hours. This represented a dramatic swing of over 70%, although it was not reflective of broader market conditions.

The implications of this event are twofold. Firstly, it illustrates how a phenomenon known as a "flash crash" can occur without causing a true market crisis. When liquidity is limited on a particular trading pair, a single order can trigger an extreme last price point. This scenario can produce striking chart patterns while leaving the overall market largely unaffected.

Market Data for BTC/USD1 BTC/USD1 trends visualized on TradingView

Secondly, the trading pair in question may seem mundane: USD1 is designed as a fiat-backed digital asset aiming for a stable 1:1 value against the U.S. dollar. Launched in April 2025 by World Liberty Financial (WLFI) and issued under the watchful eye of BitGo Trust Company, this stablecoin facilitates dollar-like digital transactions.

Thus, this Christmas market tale reveals an interesting dynamic: the pair wasn’t an obscure token against a low-liquidity meme coin— instead, it involved Bitcoin versus a dollar-pegged currency, demonstrating the impact of liquidity on price fluctuations.

In essence, this incident didn’t signify Bitcoin crashing to $24,000; rather, it was a temporary distortion in the BTC/USD1 market, exacerbated by the holiday trading environment.

Shifting focus to XRP, the situation appears less dramatic but offers significant implications. This week, XRP closed at $1.8580, reflecting a 3.34% decrease over the week. It opened the week at $1.9224, peaked at $1.9493, and hit a low of $1.8372, showcasing a gradual decline.

The larger concern involves the moving averages, specifically the potential death cross on the weekly chart, as the 23-week moving average nears a crossover below the 50-week moving average. Current averages stand at critical levels near $2.5937 and $2.4985, with XRP trading well below both.

Market Data for XRP/USD XRP/USD analysis on TradingView

The headline of “-26%” relates to the long-term safety indicator: the 200-week moving average, currently at $1.3762. From the present weekly close at $1.8580 to this average represents a potential drop of 26%. Market participants are aware of this key level, especially if the trend descends further and the death cross pattern becomes confirmed.

History suggests that XRP previously encountered a supportive bottom near this 200-week average on October 10, amidst a market episode that triggered $40 billion in liquidations. While the specific triggers may not be essential, the takeaway remains clear: this 200-week average is recognized as a pivotal level in the market.

As for Cardano (ADA), the outlook is based on seasonal trends rather than technical analysis. Historical data from CryptoRank indicates January has been a relatively strong month for ADA, with an average increase of +19.3% and a median growth of +2.32%.

Thus, January offers a well-documented opportunity for Cardano, suggesting strong past performances can lend support to the current market momentum. However, outcomes are never guaranteed, and history shows how quickly market sentiment can change. Yet, in the crypto space, narratives often precede fundamental changes visible on charts.

ADA remains a top 10 cryptocurrency, and the growing attention surrounding Midnight (NIGHT)—a privacy-centric network built on Cardano—could serve as a catalyst for renewed investor interest heading into the new year.

The coming sessions will be critical in defining whether this holiday volatility signifies a lasting impact. After the temporary $24,111 print on Binance’s BTC/USD1 pair and its swift rebound to the $87,000 range, one of the pressing questions is whether liquidity will stabilize and the charts will move on, or if traders will start treating “stablecoin pairs” as critical indicators of market health.

Bitcoin (BTC): Currently near $87,612, with bulls aiming to reclaim $87,995; failing to do so would shift focus to $87,246.

XRP: Trading at approximately $1.858; it must reclaim the 2.5 level to stave off a potential drop to the 200-week moving average at $1.3762.

Cardano (ADA): January presents positive statistics; maintaining above a certain breakout level will be crucial for sustaining upward momentum.