Why analysts say Q1 2026 crypto rally is back on the table!
Coinbase analysts are optimistic about a crypto market recovery in early 2026. In the firm’s weekly update, the analysts stated that the December sell-off was over, resetting the market for a likely relief bounce in Q1.
The systemic leverage also dropped to 3% of total crypto market cap, up from the frothy levels of 10% seen in 2025, the analysts noted. This meant a healthy reset after flushing out excess leverage, conditions that could drive a sustainable recovery.
Additionally, Coinbase highlighted that renewed Bitcoin[BTC] and Ethereum[BTC] ETFs inflows, along with options data, pointed to a “rising appetite for upside exposure.”
“With liquidity returning post-holidays, early flows suggest…





