Bitcoin price rises to $98,000 during Christmas

After a week of price drops and sideways movements, Bitcoin finally regained ground on Christmas Eve. With a peak just above $99,000, the largest cryptocurrency demonstrated its resilience.

Altcoins followed this positive momentum, with VeChain, Solana, and Movement (MOVE) standing out with impressive gains. However, the week wasn’t without challenges, such as a notable outflow of $338.4 million from spot Bitcoin ETFs.

Bitcoin recovers after a sharp correction

The past few days were far from calm for Bitcoin. After the final FOMC meeting of the year, where the U.S. central bank reduced interest rates by 25 basis points, Bitcoin’s price plunged. From $108,000 on Tuesday, the price dropped to $92,000 by Friday. The weekend brought some recovery, with Bitcoin briefly surging above $99,000. However, this rally was short-lived, and the price fell back toward $92,000 by Monday.

From Tuesday, Bitcoin began climbing again, partly supported by the so-called Santa Claus rally. Within just a few hours, the price rose from $94,000 to a peak of $99,000. Although the price has since dipped slightly, Bitcoin remains strong at $98,595.41. A daily increase of 4.48% and a trading volume of $44.43 billion highlight the continued confidence of investors.

Significant outflow from Bitcoin ETFs

While Bitcoin’s price increase brings positive news, an interesting development has occurred on the ETF side. Yesterday, a massive outflow of $338.4 million was recorded from spot Bitcoin ETFs. This could indicate profit-taking by investors or a shift of capital to other markets. However, this does not appear to have significantly affected Bitcoin’s overall bullish trend.

💥BREAKING: Yesterday the Spot #Bitcoin ETF saw $338.4 MILLION outflow! pic.twitter.com/WpW4cExgYV

— Crypto Rover (@rovercrc) December 25, 2024

Altcoins have also responded strongly to market movements. VeChain and Solana posted substantial gains, while Movement (MOVE) emerged as one of the surprises of the holiday season. This demonstrates that investors remain confident in the broader crypto market.

Christmas Thoughts in Bitcoin Style

The volatility of Bitcoin remains a hot topic, but the growing interest in the cryptocurrency is undeniable. As crypto analyst Michaël van de Poppe noted on Twitter: “Last year at Christmas, Bitcoin was at $40K, and people wondered if it was still alive. This year, with Bitcoin nearing $100K, they’re asking how to invest.” It shows how quickly sentiment and interest in the crypto world can change.

Last year’s Christmas, $BTC at $40K:

‘Are you still working in that #Bitcoin space? It’s kind of death, isn’t it?’

This year’s Christmas, $BTC at $100K:

‘Can you tell me how to invest in Bitcoin? I heard Trump will hold it on the balance sheet?!’

Funny how things change.

— Michaël van de Poppe (@CryptoMichNL) December 25, 2024

With Bitcoin once again approaching $100,000, it will be exciting to see what the coming days bring. Will 2024 be the year Bitcoin finally breaks the magical $100K barrier?