- Bitcoin price, after nearly a 5% increase in the past few days, dropped over 1% while Bitcoin dominance decreased from 52% to 50.5%.
- This week, there is almost no major macro event, and apart from unemployment data and short-term treasury bond auctions, there are no significant events related to large-scale crypto.
- Traders will attempt to take new positions, considering various factors such as the expected approval of a spot Bitcoin ETF, Bitcoin halving, and technical charts.
While the Bitcoin price continues to stagnate at $43,000, the Christmas rally is having an impact on altcoins!
Bitcoin Price Calms Down on Christmas Day
Bitcoin price, after almost a 5% increase in the past few days, dropped over 1%, and Bitcoin dominance decreased from 52% to 50.5%. There is no support sign from trading volume, global crypto market cap decreased by 0.50% to $1.67 trillion, and the Crypto Fear and Greed Index dropped from 75 to 72 (greed). Some altcoins surged with expectations of a Santa Claus rally after Christmas.
Traders, especially after the decline in U.S. CPI and PCE inflation data and the anticipation of a turnaround by the U.S. Federal Reserve next year, are bullish on Bitcoin and other major altcoins. Major trading markets are low in activity during the Christmas holiday, but the crypto market is still open. This week, there is almost no major macro event, and apart from unemployment data and short-term treasury bond auctions, there are no significant events related to large-scale crypto.
Crypto withdrawals due to the end of BUSD support and year-end stablecoin flows are events that will have almost no impact on the crypto market. The upcoming Friday’s annual options expiration will be a significant event where almost half of Bitcoin and Ethereum option positions will face delivery.
Traders will attempt to take new positions, considering various factors such as the expected approval of a spot Bitcoin ETF, Bitcoin halving, and technical charts. As the U.S. Dollar Index (DXY) retreats to 101.71, the 10-year Treasury yield has hit its lowest level in a six-month decline; these are potential factors for an increase in Bitcoin price.
Altcoins Rising on Christmas
While BTC price stagnates around $43,000, altcoins are taking the spotlight on Christmas. Bitcoin price dropped 1% in the last 24 hours, but the increasing trade volume is considered a potential sign of recovery. Crypto analysts continue to maintain a bullish trend. CredibleCrypto said, ‘Fully ready for the next leg – hopefully, we quickly pass the low 43s once again to fill a few more bids.’ The market expects Bitcoin price to reach $50,000 soon.
Leading altcoins like ETH, SOL, BNB, XRP, ADA, and AVAX, which set strong upward momentum for this week, are experiencing pullbacks. Traders are watching trading volumes in spot and derivative markets for a Santa Claus rally in the coming week. AXS, QNT, ORDI, KDA, SEI, MINA, and other altcoins are among the gainers highlighted in the crypto market on Christmas. AXS and KDA prices increased by 30% and 60%, respectively.
