Top 3 Major Updates That Could Shake Crypto Market This Week

Bitcoin rising above $92K has brought much-needed bullish sentiment to the crypto market. Here are the top developments to watch this week for further upside momentum amid institutional adoption, US macroeconomic events, and potential US operations in Latin America after Venezuela.

US President Trump’s Warning to Other Latin American Countries

The United States carried out airstrikes in Venezuela to capture President Nicolas Maduro. The White House cited drug trafficking and migration as reasons to bring Maduro and his wife to the United States for criminal proceedings.

They will appear in federal court on January 5, according to a spokesperson for the U.S. District Court in the Southern District of New York. Attorney General Pamela Bondi said it was a joint effort involving the Department of Justice, the Federal Bureau of Investigation, and the Drug Enforcement Administration.

Joint Statement from the Department of Justice, the Federal Bureau of Investigation, and the Drug Enforcement Administration

The Department of Justice, working in close coordination with the Department of War, the Department of State, the Federal Bureau of Investigation, the…

— Attorney General Pamela Bondi (@AGPamBondi) January 4, 2026

However, Democrats and other reports claim the US operation in Venezuela is about oil reserves. Trump said if the acting Venezuelan leader Delcy Rodriguez doesn’t do what’s right, “she will face a situation probably worse than Maduro.”

Trump has broadened his hardline stance toward Latin America, issuing sharp remarks about Colombia, Cuba, and Mexico after the arrest of Venezuelan President Nicolas Maduro. As CoinGape reported, the crypto market is bracing for impact as Trump considers military action in Colombia.

Crypto Market Traders Eye US Jobs Data and Potential Fed Chair Announcement

Bitcoin is holding above $92K ahead of key macroeconomic events, including JOLTs Job Openings for November on Wednesday and the Non-Farm Payrolls and Unemployment Rate release on Friday.

Strong jobs data could hinder expectations for aggressive Federal Reserve rate cuts in 2026, strengthening the US dollar and pressuring the crypto market. In contrast, weaker jobs data could fuel Bitcoin and altcoin prices. Notably, Fed Chair Jerome Powell lowered the odds of another rate cut in January.

Currently, the CME FedWatch tool shows an 18% probability of another 25 bps Fed rate cut in the next FOMC meeting on January 28.

Crypto market participants also expect President Trump to announce his nominee for Federal Reserve Chair this week. Jerome Powell’s term ends in May. Speculation about a more dovish or crypto-friendly pick could influence rate cut expectations and broader market sentiment.

Last week, crypto traders increased their bets on former Trump advisor Judy Shelton as the Fed chair race tightened. This comes amid a drop in Kevin Hassett’s odds, although he remains the favorite to replace Jerome Powell.

Bank of America Enables Bitcoin ETF Recommendations

Bank of America will allow its wealth management advisors at Merrill, Private Bank, and Merrill Edge to recommend spot Bitcoin ETFs to clients starting today. It will advise clients to allocate up to 4% of their portfolios to Bitcoin and other cryptocurrencies.

This marks a major shift from previous restrictions, when advisors could only facilitate client-initiated trades. The approved ETFs include BlackRock’s IBIT, Fidelity’s FBTC, Bitwise’s BITB, and Grayscale’s BTC.

This could unlock substantial new inflows into spot Bitcoin ETFs, boosting demand and potentially pushing Bitcoin price and the crypto market higher. Bitcoin ETFs saw $471.3 million in net inflows on Friday. IBIT recorded $287.4 million in inflows.

Bitcoin price has climbed by more than 2% over the past 24 hours, currently trading at $92,980. The 24-hour low and high were $90,877 and $93,204, respectively. Trading volume has increased by 30% in the last 24 hours.