During the period from December 22 to 28, 2025, the cryptocurrency market was in a state of holiday consolidation with elements of increased volatility, triggered by a series of large token unlocks and reduced liquidity due to New Year holidays. The total market capitalization fluctuated in the range of $2.97–3.07 trillion, showing minimal changes amid the absence of significant macroeconomic catalysts and traders' focus on risk management.
Market and Price Dynamics
Crypto assets generally maintained neutral dynamics with prevailing correctional sentiment. Bitcoin started the week around $88,088, experiencing pressure from $222 million in liquidations with an open interest of $129 billion, and fell below $88,000 by mid-period. By December 28, BTC closed with a slight gain of 0.13–0.68%, holding within a narrow trading range without breaking key support or resistance levels. Ethereum (ETH) lost about 1% of its value, stabilizing at $2,987–$2,942.71 with a daily gain of 0.33%, reflecting the general trend of cautious investor positioning.
Among altcoins, a mixed picture was observed: Solana (SOL) rose 1.06% to $124.35, XRP gained 0.97% to $1.869, TRON (TRX) increased 1.50% to $0.2835, while Binance Coin (BNB) added 0.82% to $845.84. Growth leaders included STORJ (+40%), NTRN (+22%), and T (+19%), while Zcash, Monero, and Ethena lost over 5%. The Christmas period intensified "red" tones for most altcoins, with total DeFi TVL declining to $118 billion amid holiday trading volume slowdown.
Regulatory Events and Legislation
Regulatory activity during the holidays was limited, but a key development was the advancement in the U.S. Senate of principles for regulating domestic crypto markets in preparation for hearings on market structure and stablecoins under the GENIUS Act. These principles include AML compliance requirements for issuers, balance between federal and state oversight, and clarifications on tax aspects. SEC Chair Paul Atkins confirmed the transition to a "golden age of innovation," promising clear rules for tokenized assets, custodial services, and platforms, with emphasis on on-chain systems without excessive enforcement-driven approaches to DeFi.
International initiatives also progressed: Switzerland began consultations on new licenses for stablecoin issuers, while Canada continues discussions on integrating digital assets into the fiat system with security focus.
Technological Updates and Infrastructure
The week was marked by large-scale token unlocks totaling over $58 million, increasing price pressure under low liquidity conditions:
- December 22: MBG — 15.84 million tokens ($8.06 million, 8.42% circulating supply)
- December 23: UDS — 2.15 million ($5.16 million); SOON — 21.88 million ($8.82 million)
- December 25 (Christmas): H — 105 million ($15.28 million, 4.79% supply); XPL — 88.89 million ($11.5 million)
- December 28: JUP — 53.47 million ($10.34 million, 1.73% supply)
These events, particularly Christmas releases of H and XPL, tested projects amid holiday trading volume reductions, creating opportunities for volatile movements. Ethereum continued preparing for the Fusaka hardfork in December to optimize L2 traffic processing and enhance network speed. Aster announced early Stage 4 buyback and launched a $12 million futures competition to support holders.
Investments and Security
Institutional activity remained moderate: $27–28.5 billion BTC and ETH option expirations on Deribit on December 26 confirmed position hedging, locking prices in the current range. Blockchain venture investments (DeFi, Web3, AI) continued with focus on compliance-oriented projects, while crypto industry M&A reached a record $8.6 billion in 2025 due to regulatory easing. Total annual hacking losses exceeded $2.1 billion, primarily from private key compromises.
Conclusion
The week of December 22-28, 2025, highlighted market resilience during holiday slowdown: consolidation at $2.97–3.07 trillion capitalization, pressure from unlocks (MBG/UDS/SOON/H/XPL/JUP totaling $58+ million) and $28 billion options expiration constrained growth, but regulatory steps by SEC ("Project Crypto") and upgrades like Fusaka lay foundations for 2026. Beginners should understand: such periods represent natural pre-New Year pauses; monitoring supply events, Fed decisions, and L2 developments will help minimize risks. BTC in the $88k zone presents accumulation opportunities for long-term investors with rebound potential upon liquidity restoration. The crypto industry continues evolving, balancing between volatility and long-term innovation.