New Year’s Kickoff Rally: Crypto Concept Stocks Surge Across the Board, Nasdaq Rises Over 1% Leading the First Trading Day of 2026.

Why is this happening? In fact, there are several key factors driving this momentum.

First is the optimistic macroeconomic outlook. At the beginning of the year, traders generally released positive signals about future monetary policy—expectations of interest rate cuts rising and economic prospects improving—which directly stimulated a rebound in risk assets. High-volatility assets like Bitcoin and Ethereum were the first to feel this wave of enthusiasm.

Second, the timing is quite strategic. The approval of Bitcoin spot ETFs in the U.S. just marked its one-year anniversary (around January 10, 2025), prompting the market to review and summarize the significant inflow of funds and the industry’s formalization process over the past year. This emotional resonance often translates into tangible buying activity.

There is a high positive correlation between crypto concept stocks and mainstream cryptocurrencies like Bitcoin—this is well-known but remains a fundamental truth. When Bitcoin is in a strong phase or breaks through key levels, related listed companies’ stocks almost always follow suit.

Additionally, don’t overlook the power of asset allocation. Every year, at the start of the year, institutional and individual investors reassess their portfolios. Increasingly, funds are incorporating crypto assets into their long-term holdings. Although these incremental buy-ins are intangible, they drive the entire sector higher.

This wave of market activity essentially reflects the deep linkage between the crypto market and traditional finance, as well as the true value of crypto assets as a "barometer" of risk appetite. Sector-wide rallies usually indicate overall industry good news, rather than isolated events involving individual companies.

For investors, don’t focus solely on the rise and fall of individual stocks. The real factors to watch are the underlying macro market sentiment, Bitcoin price trends, and upcoming industry key events. These are the true drivers behind the performance of the entire sector.