Bitcoin Falls Back Under $95,000: Exploring the Factors Affecting BTC’s Value

Bitcoin
BTC/USD
has seen a slight decrease of 1.6% to $94,300 this Friday, as enthusiasts in the digital currency space look ahead to more robust trading periods at
the onset of 2025.

What Transpired:
Amidst the downturn in Bitcoin’s value, Altcoin Sherpa, a cryptocurrency trader, forecasts an upcoming period of “weird price action” that he suggests will consist of a “despair” phase before launching into a tremendous surge in value, which he refers to as an “absolute moon mission,” coupled with a significant altcoin season.

Castillo Trading advises traders to be aware that the market might appear slow due to holiday seasons, but this should not be misconstrued as a general market downturn. He
commented
that many investors are watching for a potential dip in Bitcoin’s price to the $84,000 to $85,000 range.

CoinDesk’s senior analyst, James Van Straten, observes that active whale accounts on Bitfinex can often signal forthcoming trends in Bitcoin’s price trajectory. He highlighted that during the price surge in November, whales divested roughly 20,000 BTC. Since the decline from $108,000, he has not increased any of his Bitcoin long positions.

Related Reading:

Bitcoin’s Downward Trend Towards $60,000, According to a Technical Analyst

Significant Developments:
Since December 10th, there has been a
downtrend
in capital entering the crypto market, plummeting from $134 billion to its current $100 billion.

IntoTheBlock’s data indicates a 31.6% uptick in large transaction volume, while daily active addresses have remained relatively unchanged at a -0.04% fluctuation. Transactions valued at over $100,000 have risen from 7,853 to 8,785 in a day. Moreover, exchange netflows have diminished by 451.9%.

According to Coinglass, 93,769 traders faced liquidation, resulting in losses totaling $235.55 million in the last 24 hours.

What To Read Next:

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