Introduction
As Christmas approaches, the volatility of the Bitcoin market has attracted high attention from investors. According to Ryan Lee, Chief Analyst at Bitget Research, Bitcoin is currently in a phase of low liquidity due to the holiday season, resulting in low market liquidity and price fluctuations below $100,000. However, the analyst predicts that after the Christmas holiday, market liquidity will recover and Bitcoin is expected to break through the key price range of $105,000.
Market Status of Bitcoin and Christmas Impact
During Christmas, it is typically a low liquidity period for global financial markets. According to Ryan Lee’s analysis, the price of Bitcoin is currently hovering between $94,000 and $100,000, with high volatility. On the morning of December 24th, the price of Bitcoin approached the $100,000 mark, reaching $99,968, but then slightly fell back and is currently hovering around $99,084.
Despite the market’s expectation of reduced activity from investors during the holidays, leading to a sluggish Bitcoin price, some institutions and large investors, known as “whales,” seem to be taking the opportunity to accumulate Bitcoin, which may be one of the key factors supporting the current price. Lee expects that as Christmas ends, liquidity will recover, market activity will increase, and this will drive Bitcoin’s price to once again challenge the high point of $105,000.
Latest Price Trends of Bitcoin Today
Review of Bitcoin’s Historical Performance and Price Growth
According to statistics from Watcher.Furu on the social platform X, the growth trajectory of Bitcoin is impressive. By 2024, the price of Bitcoin has reached 392,880 times the price in 2010, demonstrating significant growth potential. In the history of Bitcoin, especially during Christmas, price performance sometimes shows fluctuations. In the past ten years (2014-2023), Bitcoin’s performance during Christmas has been inconsistent, but overall, the upward trend has been considerable.
For example, in 2013, the price of Bitcoin increased by over 5000%, while negative growth occurred in 2018 and 2022. Data from the past ten years suggest that although Bitcoin’s price volatility is low during Christmas, prices usually experience a rebound in the days after Christmas, especially after market liquidity recovers.
Impact of Bitcoin Market Liquidity and ETFs
In addition to liquidity issues caused by holidays, the current Bitcoin market also faces pressure from spot ETFs (Exchange Traded Funds). According to CoinDesk, although the overall sentiment in the Bitcoin market is bullish, spot ETFs have experienced net outflows for four consecutive days since December 24th, with a total outflow of about 15,500 Bitcoins. The outflow of ETF funds may exert downward pressure on Bitcoin’s price.
However, analysts remain optimistic about Bitcoin’s long-term prospects. Ryan Lee pointed out that once the holiday season ends and liquidity recovers, Bitcoin’s price is expected to quickly rise above $105,000. Changes in funding rates are also an important bullish signal for analysts. According to CoinGlass data, the funding rate for Bitcoin perpetual contracts on Binance, the world’s largest cryptocurrency exchange, is positive, indicating that bullish sentiment still dominates the market.
Potential Rebound and Challenges for Bitcoin in the Future
Although Bitcoin may face corrections and fluctuations in the short term, analysts maintain an optimistic view of its future trajectory. According to a report from crypto service provider Matrixport, improvements in the macroeconomy, particularly changes in US cryptocurrency regulatory policies, could drive Bitcoin to a larger rebound in 2025, potentially even surpassing the price range of $160,000.
In addition, expectations for President Trump’s inauguration ceremony have also brought positive sentiment to the market. Analysts believe that this event may push Bitcoin’s price upward. Despite pressure in the ETF market, Bitcoin’s fundamentals remain solid, especially against the backdrop of improving macroeconomic conditions, indicating continued bullish sentiment in the long term.
Conclusion
Bitcoin experiences high volatility during the Christmas period, but with the recovery of liquidity and market activity, it is expected to break through the $105,000 price barrier. Historical data shows that Bitcoin’s performance in December usually has some upward potential, especially after liquidity recovers.
Despite the challenges of ETF fund outflows, analysts remain optimistic about Bitcoin’s long-term prospects, especially with improvements in macroeconomic conditions potentially providing greater upside potential. Investors should pay attention to changes in market liquidity and the evolution of cryptocurrency regulatory policies in the coming months, as these factors will determine whether Bitcoin can break through the current price range and usher in a new round of growth.
