How High Can Bitcoin Price Go This December?

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As a seasoned crypto investor with over a decade of experience in this dynamic market, I find myself optimistic about Bitcoin’s potential price rally in December. Having witnessed numerous bull runs and bear markets, I can attest to the unpredictable yet fascinating nature of cryptocurrencies.

Bitcoin‘s price experienced a robust 37.3% increase in November after Donald Trump won the US Presidential elections. Interestingly, past trends suggest that the Bitcoin surge might continue up to another 46% in December. At present, Bitcoin is hovering around $96,600; however, this upward trend could potentially lift it to as high as $141,000 by year-end.

Bitcoin Price to Rally in December?

Following a remarkable 37.3% increase in November, Bitcoin seems poised for a robust finish to the year in December. According to data from blockchain analysis platform Spot On Chain, Bitcoin’s price tends to rise significantly after elections, with an average growth of 30-46% in December over previous years.

Currently, as reported, Bitcoin’s price stands at approximately $96,922 and has a market capitalization of around $1.918 trillion. Given its past performance, reaching the $100,000 mark appears to be quite feasible. However, with fresh market dynamics fueled by FOMO (Fear Of Missing Out), their revised forecast suggests that Bitcoin could reach $115,000 by the end of December if we assume a 30% increase from its current position. In the event of a more significant surge of 46%, the Bitcoin price rally might extend to as high as $141,000 by the year’s end.

Additionally, well-known cryptocurrency analyst Ben Armstrong, also known as BitBoy, posits that Bitcoin’s price might surge to around $100,000 within the next 48 hours based on its future perpetual data analysis. He emphasized this point in his recent assessment.

“Alright everyone! The big moment we’ve all been waiting for is nearly here – in the next 48 hours, Bitcoin could potentially reach $100,000! Let’s savor this unique opportunity as it won’t happen again.

Bitcoin Exchange Reserves Dropping Significantly

10x Research’s data suggests that the amount of Bitcoin held by exchanges is decreasing rapidly. Unlike the surge seen in late summer, which temporarily increased exchange stocks, recent on-chain information shows a significant decline in supply. Moreover, long-term holders are holding onto their Bitcoins tightly, choosing not to sell them, which could potentially drive up Bitcoin prices further.

From my perspective as a crypto investor, Bitcoin ETFs have seen over $31 billion pour in since their debut, snatching up a significant amount of supply from the market. As per reports, even traditional funds managed by giants like BlackRock are looking to get a piece of the action with spot Bitcoin ETFs. According to 10x Research, currently, only three exchanges – Bitfinex, Binance, and Coinbase – possess enough Bitcoin inventory to meet this growing demand. They further emphasized that these exchanges hold the key to satisfying the market’s increasing appetite for Bitcoin.

“Considering that $30 billion in Bitcoin ETF inflows would only secure 300,000 BTC at current prices, Bitfinex’s reserves could last about one year, while Binance and Coinbase have enough supply”.

As a researcher delving into the realm of Bitcoin, I’ve recently found myself drawn to the BTC reserves stored within exchanges. The current situation appears to be akin to a supply shock, a term used to describe an unexpected surge or decrease in the availability of something. I can’t pinpoint who these buyers are, but it seems as though short-term traders are offloading their coins to what appears to be a massive Bitcoin vacuum cleaner.

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2024-12-02 09:06