This Week's Highlights
- MicroStrategy announced plans to issue more shares next year to purchase BTC, which boosted market sentiment and drove a rebound in BTC on Thursday. As of December 23, 2024, MicroStrategy has accumulated a total of 444,262 BTC.
- An analysis report stated that Binance's BTC reserves have recently fallen below 570,000 BTC, the lowest level since January this year. Typically, when an exchange's reserves decrease, it indicates that investors are transferring BTC to cold wallets, which is often seen as a bullish signal for BTC's long-term price outlook.
- On December 24, the total inflow of the US spot ETH ETF exceeded $2.5 billion, with a net inflow of $53 million. This reflects optimistic market sentiment. Institutions like VanEck predict that ETH's price will reach a cycle high of $6,000 by 2025.
Market Analysis
Bitcoin (BTC)
BTC rebounded strongly from the 50-day simple moving average ($94,608) on December 24, demonstrating the bulls' robust defense of this key support level. This morning, the price successfully broke above the 20-day exponential moving average ($98,387), indicating that the recent correction may have ended. With the bullish momentum strengthening, the BTC/USDT pair is expected to rise further, targeting the historical high of $108,353.
Historically, BTC often exhibits a significant price increase trend after Christmas in election years, reaching a seasonal peak in January. If this pattern continues, the current upward momentum may further strengthen, making the next few weeks a crucial window for market attention.
Ethereum (ETH)
Affected by the news, $3,000 has become an important support level recently. After ETH fell to $3,100 on the evening of the 20th, it quickly rebounded and retested the $3,550 area above, which generally suggests that the market will be dominated by range-bound fluctuations this week. Currently, ETH's rebound is facing significant resistance near the 20-day exponential moving average (EMA, $3,584), and the bears are actively exerting pressure to strengthen their control over the price.
If the price can break above and stabilize above $3,584, it will indicate that the bears' suppressive force is weakening, and the market sentiment may start to turn bullish. Looking further, the key resistance level above is $4,094, which is expected to be the main defensive point for the bears, and the bulls may face strong selling pressure at this level.
Disclaimer
The above content is solely for market analysis and opinions, and does not constitute any investment advice. Investing in digital assets carries high risks, so please fully evaluate your risk tolerance before making any investment decisions, and consult with professional financial advisors.
