Bitcoin surprised the community with a sudden 3.58% move towards $106,533. However, some analysts were adamant about this move because the 20 Moving Average played big. This has got people talking about the Christmas rally. There are several factors behind this push. The increase in wallet addresses with more than 100 BTC shows market confidence.
MicroStrategy joins the Nasdaq 100: a new path for Bitcoin?
Michael Saylor ran MicroStrategy and it just joined the Nasdaq 100 index. This is great news for the cryptocurrency world. The company holds 423,650 BTC worth $44.58 billion. With Nasdaq 100 membership, index funds could start buying more MicroStrategy shares. And when that happens, we could see even more Bitcoin purchases from them. MicroStrategy has been buying Bitcoin every Monday and another round is expected soon. Therefore, this move could mean even more bullish pressure for the price of Bitcoin.
Trump’s pro-crypto plans: could they change everything?
As Donald Trump prepares to take office again in January, some cryptocurrency enthusiasts are hopeful about what he could do for Bitcoin. He has hinted at creating a strategic Bitcoin reserve, although we don’t have all the details yet. But the idea of a pro-crypto president is already making waves. If he keeps his promises to the crypto community and follows a favorable plan for the ecosystem, it will be a big boost for the entire ecosystem and not just Bitcoin.
Technical Analysis: Where is Bitcoin Headed?
Let’s explore the graphs for a moment to see what’s happening there. For Bitcoin to create another ATH and stay above $100,000 is a huge achievement. The industry is watching closely to see if it can stay above that mark. If the current momentum holds, we could see $110,000 around Christmas. This path is not without risks.
Source: Tradingview
The RSI on a weekly chart is at 77, which is the overbought zone. If the rally has to continue, the price needs a consolidation or correction before further moves occur. However, a sudden increase in purchasing may be enough. If this happens, we could see $120,000 by the end of 2024.
What’s next for Bitcoin?
Looking ahead, it looks like Bitcoin’s momentum could continue, especially with all the factors at play, such as continued MicroStrategy purchases and potential pro-Bitcoin policies under Trump. But don’t forget that the Federal Open Market Committee (FOMC) meeting is also approaching, which could create some bumps in the road. Still, with the way things are shaping up, it’s hard not to feel optimistic about where Bitcoin price could go next.
