FxPro Senior Market Analyst Alex Kuptsikevich stated that Bitcoin (BTC) has shown signs of recovery since November 21st, forming higher lows and highs, but for this rise to turn into a sustained bull trend, the total cryptocurrency market capitalization needs to surpass $3.32 trillion.
Bloomberg Analyst: Bitcoin Could Fall Below $84,000 by Year-End, “Santa Claus Rally” Expectations Weakening
The global market capitalization currently stands at $3.16 trillion, a 2.5% increase from the start of the week, but still below its previous peak of $3.21 trillion.
CoinGlass data shows that the most significant reason for the recent drop in BTC is high leveraged positions. In the last 24 hours, $376 million worth of long positions were liquidated, a figure almost three times greater than the liquidation of short positions.
Despite the US Federal Reserve announcing another interest rate cut on Wednesday, expectations of fewer cuts in the next two years provided limited support to the market.
QCP Capital predicts Bitcoin will trade between $84,000 and $100,000 by the end of the year, while Bloomberg analyst Mike McGlone suggests the traditional “Santa Claus rally” may not happen this year and BTC could fall below $84,000.
Markets are now watching to see if Bitcoin can hold onto its critical support level in the $90,000–$91,000 range. A break below this level could lead the price to test the lower end of the current range. In the event of a potential strengthening, the $94,000 resistance level could come back into play.
*This is not investment advice.
