Bitcoin hits $98K as Santa rally sparks hope among bulls
Bitcoin bulls might receive a green Christmas as BTC surges to $98,545 following a strong rebound on December 24. The rally gained traction after a shaky week saw Bitcoin retest its December lows.
Data from Cointelegraph Markets Pro and TradingView revealed BTC/USD hitting a new local high of $98,020 on Bitstamp, marking a 3% daily gain. The spike followed increased activity from “large spot buyers,” signaling renewed market confidence. Notably, the phenomenon referred to as a “Santa rally” — a year-end surge in asset prices — seems to have made its way to Bitcoin.
The latest data from CoinGlass shows that BTC short liquidations over the past 24 hours totaled nearly $40 million, with cross-crypto liquidations reaching $150 million. These liquidations highlight significant shifts in market sentiment as bearish positions were wiped out.
Analytics account Bitcoindata21 emphasized the importance of flipping volume-weighted average price (VWAP) resistance levels. The analyst noted that Bitcoin had surpassed the first VWAP resistance and suggested that overcoming the $98.5K level could pave the way for new all-time highs. The Coinbase premium — a key indicator of buying pressure during U.S. trading hours — also showed signs of recovery, reflecting stronger demand.
However, not all analysts were optimistic. Rekt Capital highlighted that BTC remains at risk of further downside unless previously lost support levels are reclaimed. He cautioned that turning these supports into resistance could lead to additional declines. Conversely, reclaiming them would signal bullish momentum.
Bitcoin outperformed traditional markets, with the S&P 500 and Nasdaq 100 rising less than 1% compared to Bitcoin’s notable gains. While short-term optimism is driving Bitcoin higher, analysts remain divided on whether the momentum can sustain without reclaiming key resistance levels.
As 2024 approaches, the crypto community eagerly watches to see if Bitcoin can maintain its upward trajectory or face renewed selling pressure.
Source: Cointelegraph
Ethereum positioned as the ‘comeback kid’ of 2025
Ethereum enthusiasts are optimistic about 2025, citing advancements in AI agents, network upgrades, regulatory improvements, and growing institutional interest. Analysts predict Ethereum’s potential resurgence, making it the “comeback kid” of the crypto market.
Ethereum has seen a modest 53.5% growth in 2024, reaching $3,482. Analysts like Kain Warwick of Infinex describe Ethereum as a “coiled spring,” poised for a breakout. Key upgrades, such as improved account abstraction and layer-2 interoperability, are expected to enhance user experience significantly.
The Pectra upgrade, slated for early 2025, is central to Ethereum’s growth. This upgrade will increase validator efficiency by raising the maximum effective balance from 32 ETH to 2,048 ETH, reducing network strain and improving speed. Gaia Regis of Byzantine notes this will attract more staking, decentralization, and security, albeit with reduced staking rewards.
The incoming Trump administration and a crypto-friendly SEC under nominee Paul Atkins could provide a favorable environment for Ethereum. Saul Rejwan of Masterkey highlights the potential for DeFi and decentralized infrastructure projects on Ethereum to thrive under less restrictive regulations. Matt Houghan of Bitwise adds that a regulatory shift could unlock innovation, benefiting Ethereum and its layer-2 ecosystems.
Ethereum dominates three critical areas shaping crypto in 2025: stablecoins, tokenization, and AI agents. These trends are driving substantial interest, with Ethereum ETFs seeing $1.5 billion in inflows recently. Houghan predicts ETH will surpass its previous all-time high of $4,878, potentially reaching $7,000.
Ethereum’s layer-2 networks, such as Abstract and Deutsche Bank’s project, are enhancing utility. On-chain protocols like Hyperliquid are now competing with centralized platforms like Binance, reflecting Ethereum’s growing dominance.
Ethereum’s robust upgrades, favorable regulatory outlook, and ecosystem expansion position it as a central player in crypto’s “golden age,” expected to flourish in 2025.
Source: Cointelegraph
Why is Solana (SOL) price rising today?
Solana (SOL) has experienced a significant price increase, reflecting broader upward moves in the altcoin market as Bitcoin’s price stagnates. Several factors, including a decline in Bitcoin market dominance and Solana’s growing network activity, are contributing to its rally.
Solana’s price rose by 6.35% in the past 24 hours, reaching approximately $193.20. This surge coincides with Bitcoin’s dominance (BTC.D) in the crypto market recording its sharpest daily drop since January, falling by 1.84% on December 23. Meanwhile, the altcoin market cap (TOTAL2) increased by 4.5%, highlighting a shift in capital from Bitcoin to altcoins like Solana.
Market analysts note that such trends often mark the beginning of an “altcoin season,” where major altcoins outperform Bitcoin in both price and market dominance.
Market analyst Mister Crypto points to similarities between current market dynamics and those of the 2021 cycle. In 2021, Bitcoin’s dominance fell significantly 217 days (31 bars) after a halving event, leading to a major altcoin season. Currently, BTC.D has broken below a long-term ascending trendline, 31 bars after Bitcoin’s most recent halving, signaling the potential start of a similar altcoin rally. This historical context suggests Solana and other altcoins could see further gains in the coming weeks.
Solana’s price increase on December 24 is further supported by heightened on-chain activity. More users are engaging with the Solana network, adding to the bullish momentum. Increased network usage often signals growing adoption and demand, which can positively impact price action.
Source: Cointelegraph