“ETF outflows and a negative news background put a damper on Bitcoin’s Christmas rally. The situation may change after the expiration on the futures market on December 27. Mt.Gox’s transfer of $49.4 million in bitcoins caused a sell-off on December 23 and a drop in the price of the first cryptocurrency to $92,500. QCP Capital stated that the expected Christmas rally will not take place. Asia Color – 24 Dec 24 1/ Bitcoin’s anticipated year-end surge has […]”, — write: businessua.com.ua
- ETF outflows and a negative news background put a damper on Bitcoin’s Christmas rally.
- The situation may change after the expiration on the futures market on December 27.
Mt.Gox’s transfer of $49.4 million in bitcoins caused a sell-off on December 23 and a drop in the price of the first cryptocurrency to $92,500. QCP Capital stated that the expected Christmas rally will not take place.
Asia Color – 24 Dec 24
1/ Bitcoin’s anticipated year-end surge has fizzled. Instead, a $49.3M Mt. Gox #BTC move sparked a 14% drop, hitting 92.5k before bouncing to 95k. Liquidity’s drying up, sentiment softens, and ETFs saw their 3rd straight day of outflows. Here’s what’s…
— QCP (@QCPgroup) December 24, 2024
Experts noted the continued outflow of funds from ETFs and the weakening of liquidity. According to them, MicroStrategy’s purchase of 5,262 BTC for a “minor” ~$561 million may indicate a reduction in the company’s risk appetite at current levels.
Analysts pointed to the potential for high volatility in the New Year days after the December 27 expiration, given the increased range in options.
Cointelegraph also noted a decrease in the chances of seeing a Santa Claus rally.
But there are optimists among traders who expect the pattern of 2016 and 2020 to repeat.
I’m ready for the #Bitcoin santa rally! pic.twitter.com/8mbNy8rk9Y
— Mister Crypto (@misterrcrypto) December 22, 2024
According to CoinGecko, from 2014 to 2023, the cryptocurrency market experienced a Santa Claus rally 8 out of 10 times, showing gains in the range of 0.7-11.8% during the week of December 27th to January 2nd.
Source: CoinGecko.
The current month-to-date decline of 2.1% is close to December’s median (-2.99%), but below its average (4.8%), according to Coinglass.
Source: Coinglass.
Trader Titan of Crypto cautioned that it is still too early to draw conclusions.
#Bitcoin Most Crucial Trend Line
As long as #BTC stays above this trend line, there’s no reason to worry.
The monthly candle may not look bullish now, but there’s still one week left before it closes. 🕒
Keep it on your radar. pic.twitter.com/VAyQFZx0G1
— Titan of Crypto (@Washigorira) December 23, 2024
“The monthly candle doesn’t look bullish right now, but it’s still a week away from closing,” he emphasized.
The specialist suggested not to worry as long as the quotes are above the support line marked on the chart.
Previously, Santiment predicted a return of Bitcoin to the high due to the rise in FUD sentiment.
As a reminder, Bitfinex predicted the peak of the digital gold bull market in the III-IV quarters of 2025 with a target price of $200,000. The same mark was announced by Bitwise.
K33 Research indicated a high probability of the formation of the top of the bull run on January 17.
The source