Bitcoin (BTC) surged to a new all-time high during early Asian trading hours, hitting a peak of $106,449 before declining to its current level. The rally came as speculations grew about it becoming a United States reserve asset.
The cryptocurrency is trading at $104,638, up just over 2% in the past 24 hours. The surge is also the result of increased whale activity and markets buoyed by MicroStrategy’s addition to the Nasdaq 100. BTC is up almost 6% over the past week and nearly 15% over the past month.
Several other cryptocurrencies registered notable gains over the weekend. Ethereum (ETH) is up almost 2% and trading just under $4,000. Solana (SOL) has also been marginally up over the past 24 hours. Dogecoin (DOGE), Cardano (ADA), Avalanche (AVAX), Tron (TRX), Toncoin (TON), and Polkadot (DOT) also made notable gains. The crypto market cap is up 2.42% and currently sits at $3.7 trillion.
Bitcoin (BTC) Sets New All-Time High
Bitcoin (BTC) surged to a new all-time high, reaching $106,492, thanks to increased whale trading and MicroStrategy’s addition to the Nasdaq 100. On-chain data revealed several major trades by Bitcoin whales over the weekend. The trades saw the movement of millions of BTC off major exchanges and into private wallets. Whale Alert, which tracks crypto transactions, showed over 27,000 BTC worth $2.8 billion moved off exchanges like Bybit and Binance into private wallets. The move drastically reduces the supply of BTC on public exchanges, leading to a spike in price.
Another major factor contributing to BTC’s surge to a new all-time high was the optimism generated by the addition of MicroStrategy, the world’s largest corporate holder of BTC, to the Nasdaq 100 index.
The Crypto Market Must Overcome Regulatory Hurdles
The head of South Korea’s stock exchange, Jeong Eun-bo, has urged the country to institutionalize crypto and act quickly or risk losing ground to its institutional rivals. He made the comments during an interview with a South Korean newspaper, during which the exchange head highlighted that the market needs to overcome significant regulatory obstacles.
“The crypto asset market has grown in size and influence to the point where traditional markets cannot ignore it. South Korea should quickly make efforts to include crypto assets in the financial sector.”
He also stated that exchange chiefs agreed it would be difficult for stock exchanges to maintain profitability if they ignored the virtual currency market.
“The average daily trading volume of the domestic stock market is approximately 20 trillion won ($14 billion). The virtual currency market has surpassed this since Donald Trump won the US presidential election. We must hurry to institutionalize the virtual currency market to create new added value. If we are vague with our treatment of virtual currency, and treat it as a speculative asset, we will fall behind in terms of international competitiveness.”
Cryptocurrencies have gained considerable popularity in South Korea. However, the country’s crypto market is dominated by private investors, with no crypto firms listed on the Korean exchange. Companies cannot buy crypto with their balance sheets, and regulators are yet to approve spot Bitcoin ETFs.
Bitcoin (BTC) Price Analysis
Bitcoin (BTC) surged to a new all-time high during early Asian trading hours, buoyed by President-elect Donald Trump’s latest comments suggesting his plans to create a US Bitcoin strategic reserve similar to its strategic oil reserves. Tony Sycamore, an analyst at IG, stated,
“We’re in blue sky territory here. The next figure the market will be looking for is $110,000. The pullback that a lot of people were waiting for just didn’t happen because now we’ve got this news.”
Trump stated last week that he wants America to be at the forefront of a global crypto ecosystem. When asked if he plans to build crypto reserves similar to the country’s strategic oil reserves, Trump replied in the affirmative.
“We’re gonna do something great with crypto because we don’t want China or anybody else – not just China but others are embracing it – and we want to be the head.”
Several other countries, including Russia, are also considering creating strategic reserves. BTC is up over 16% since last month and over 55% since the US elections. According to Jack Mallers, the founder and CEO of Strike, Trump could potentially issue an executive order designating BTC as a reserve asset on his first day in office.
“There’s potential to use a day-one executive order to purchase Bitcoin. It wouldn’t be the size and scale of 1 million coins, but it would be a significant position.”
Several Bitcoin reserve bills are being mooted at the state level as well, with Satoshi Action Fund CEO Dennis Porter claiming a third bill is being considered. However, he did not elaborate on which state would follow Pennsylvania and Texas.
“We had Pennsylvania, and we had Texas. And now we have another state coming on board. And they sent me the draft. So I know it’s real. It’s not going to stop. We’re going to see more and more of these bills come. At least 10, in my opinion.”
Analysts also predict a 0.25% interest rate cut by the Federal Reserve on December 18, which could help drive Bitcoin even higher in the coming months.
Let’s look at the price chart. BTC struggled to break past $100,000 before Sunday’s increase, as selling pressure kept the bulls at bay. However, developments on Sunday and the beginning of the week could have ignited a new bull run, with BTC setting a new all-time high earlier today. BTC began the previous week positively, registering an increase of 1.32% on Sunday and settling at $101,043. However, it fell considerably on Monday as sellers drove it to an intraday low of $94,185. BTC recovered from this level and ultimately settled at $97,434 after a drop of 3.57%. Sellers retained control on Tuesday as BTC registered a marginal decline and settled at $96,912, but not before dropping to an intraday low of $94,313.
Source: TradingView
Despite the prevailing selling pressure, BTC recovered on Wednesday, rising just over 4% to go above $100,000 and settle at $100,900. However, it was back in the red on Thursday, dropping almost 1% and settling at $99,923. BTC’s seesaw price action continued on Friday as it recovered after registering an increase of 1.47% to reclaim $100,000 and settle at $101,394. The weekend began with BTC registering a marginal drop on Saturday. However, it rallied on Sunday, registering an increase of almost 3% and settling at $104,182. BTC set a new all-time high during the ongoing session as it peaked at $106,554 before declining to its current level of $105,017.
Analysts believe BTC is in uncharted territory as market sentiment shifts to “extreme greed.” If bulls retain control, BTC could continue pushing higher and reach $110,000. On the other hand, sellers will look to reclaim control and push BTC below $100,000.
Ethereum (ETH) Price Analysis
Analysts have predicted that Ethereum (ETH) is poised for record highs in Q1 2025, and an imminent breakout could see the asset set a new all-time high. However, ETH struggled to stay above $4,000, a key psychological level, even as BTC registers substantial gains. As we can see in the price chart, ETH has repeatedly been rejected from the $4,000 level, as it encounters a formidable sell wall. Despite recent struggles, ETH has reversed considerable bearish sentiment as it recovers from a low of $3,521, a level it dropped to during the previous week.
ETH started the previous week in the red, dropping over 7% to plummet to an intraday low of $3,536 before settling at $3,715. Sellers retained control on Tuesday as ETH fell by 2.30% and settled at $3,630. However, the price bounced back on Wednesday, registering an increase of almost 6% to go above $3,800 and settle at $3,834. ETH continued to push higher on Thursday, reaching an intraday high of $3,988 before declining to settle at $3,882, an increase of 1.26%. The price climbed above $3,900 on Friday after registering a marginal increase and settling at $3,907.
Source: TradingView
Despite the prevailing positive sentiment, ETH was back in the red on Saturday, dropping almost 1% and settling at $3,869. However, buyers returned to the market on Sunday, pushing ETH up just over 2% to $3,956. ETH is marginally up during the current session and trading at $3,977 as it looks to build momentum and go beyond $4,000. Despite its struggles to conquer $4,000, analysts are bullish on ETH and predict it will soon begin catching up to BTC’s gains. Analysts from Bybit have predicted ETH could set a new all-time high in Q1 2025, adding that it is showing strength in derivatives markets.
One analyst on X believes ETH is setting up for a move above $8,800, based on the formation of an ascending triangle on the daily chart. Popular crypto analyst Venture Founder highlighted ETH’s historic correlation with Bitcoin’s halving cycle, potentially eclipsing the latter’s momentum by December.
“Every cycle, following the Bitcoin halving, Ethereum underperformed BTC for no more than 8 months until it explodes against BTC. We are in the 8th month now. Right on track. Then ETH/BTC Ratio since halving goes to no less than 700% after, which for this cycle means ETH/BTC = 0.39.”
Solana (SOL) Price Analysis
Solana (SOL) continues to be bogged down by the 20-day SMA, which is acting as a dynamic level of resistance. As a result, buyers have been unable to push towards $250, with resistance at key levels increasing substantially. SOL’s inability to go above the 20-day SMA dates back to the beginning of December. SOL has repeatedly attempted to go back above the moving average but has been unable to consolidate above it, with selling pressure pushing the price down. The same scenario played out during the previous week, as SOL plummeted almost 9% on Monday, dropping to an intraday low of $203 before settling at $216. Sellers retained control on Tuesday as SOL dropped by 1.47% and settled at $213.
Source: TradingView
SOL rebounded on Wednesday after finding support at this level and registered an increase of 6.38% to settle at $227. Buyers attempted to go above the 20-day SMA on Thursday as SOL reached an intraday high of $234. However, buyers lost momentum after reaching this level, and SOL dropped to settle at $227 after a marginal decline. Selling pressure persisted on Friday as SOL dropped 0.96% to $224. Sellers attempted to drag SOL below the 50-day SMA on Saturday as the price dropped to an intraday low of $215. However, buyers prevented a further decline, and SOL ultimately settled at $219. SOL recovered on Sunday as buying activity registered a substantial increase. As a result, SOL rose by almost 2% and settled at $224. The current session sees SOL back in the red, down by just over 1% and trading at $221.
If sellers retain control and push SOL below the 50-day SMA, it could drop to $200 before recovering. On the other hand, buyers will look for a way past the 20-day SMA. If SOL can move above this level, it could retest key resistance levels at $240 and $260.
Ripple (XRP) Price Analysis
Ripple (XRP) started December on a bullish note, surging to a high of $2.90 on December 3. Momentum has waned since, with the price unable to go beyond $3, thanks to considerable selling pressure at upper levels. As a result, XRP dropped to $2.17 by December 5 before rising to $2.60 last weekend. However, XRP plummeted at the beginning of the previous week, falling almost 15% to $2.21. Selling pressure intensified on Tuesday as the price dropped to an intraday low of $1.90, briefly going below the 20-day SMA. However, it recovered from this level to register an increase of just over 7% and settle at $2.37. XRP experienced considerable volatility on Wednesday as buyers and sellers struggled to establish control. Buyers ultimately gained the upper hand, and XRP registered an increase of 0.92% and settled at $2.39.
Source: TradingView
Sellers retired to the market on Thursday as XRP dropped 2.37% to $2.33 before recovering on Friday to register an increase of 3.60% and settle at $2.42. The weekend was mixed for XRP as it fell 0.97% on Saturday after a failed attempt to go above $2.50. However, it recovered on Sunday to register an increase of 1.93% and settle at $2.44. The current session sees XRP back in the red, down by 2.38% and trading around the $2.40 mark.
Dogecoin (DOGE) Price Analysis
Dogecoin (DOGE) has been trading in a narrow range since Monday when it plummeted over 11% to slip below the 20-day SMA and hit an intraday low of $0.382 before recovering to settle at $0.414. Bearish sentiment persisted on Tuesday as DOGE dropped to an intraday low of $0.365 before settling at $0.394 after registering a decline of almost 5%. DOGE was back in positive territory on Wednesday, rising by 5.20% and settling at $0.414. However, despite the strong showing, it could not go above the 20-day SMA and fell back on Thursday, dropping just over 2% to $0.406.
Source: TradingView
DOGE recovered on Friday thanks to support around $0.40 but could not build momentum to go past the 20-day SMA. As a result, it could only register a marginal increase and settle at $0.409. Sellers drove DOGE to an intraday low of $0.387 on Saturday as selling pressure intensified considerably. However, it pushed back from this level to settle at $0.397 before recovering on Sunday and settling at $0.406 after an increase of just over 2%. The current session sees DOGE back in the red as sellers look to drive it below $0.40. DOGE is currently down by 1.35% and trading around $0.404.
Cardano (ADA) Price Analysis
Cardano (ADA) registered a substantial drop last Monday as it fell almost 16% to slip below the 20-day SMA and settle at $1, but not before dropping to an intraday low of $0.91. Despite starting the week in the red, ADA recovered on Tuesday, rising from an intraday low of $0.91, registering an increase of almost 2%, and settling at $1.02. Bullish sentiment intensified on Wednesday as ADA rose over 6% and settled at $1.08. Buyers pushed ADA above the 20-day SMA on Thursday, registering an increase of 3.22% to $1.12.
Source: TradingView
However, sentiment changed on Friday as it registered a marginal decrease. Bearish sentiment intensified on Saturday as ADA dropped below the 20-day SMA, falling over 5% and settling at $1.06. Despite considerable selling pressure, ADA recovered on Sunday to register an increase of 3.58% and settled at $1.09. However, it could not go above the 20-day SMA. The current session sees ADA down almost 2% and trading at $1.07.
Injective (NJ) Price Analysis
Injective (INJ)’s surge towards $35 halted abruptly last Friday as it lost momentum after reaching $34. The weekend saw a considerable shift in sentiment as INJ dropped just over 3% on Saturday and settled at $32.99. Sunday saw a recovery, with INJ registering an increase of 0.98% and settling at $33.31. However, the price plummeted on Monday, dropping almost 16% to slip below the 20-day SMA and drop to an intraday low of $24.73, where the 50-day SMA prevented a further decline. INJ made a partial recovery from this level to settle at $28.05. Bearish sentiment persisted on Tuesday as INJ dropped to a low of $25 before settling at $27.07, registering a decline of 3.49%.
Source: TradingView
INJ recovered on Wednesday despite overwhelming bearish sentiment, rising by 6.57% and settling at $28.85. The price surged to an intraday high of $30.79 on Thursday, briefly moving above the 20-day SMA. However, buyers lost momentum after reaching this level, and INJ ultimately settled at $29.07 after a marginal increase. Buyers maintained control on Friday, with the price rising marginally and settling at $29.27. Bearish sentiment returned on Saturday as INJ dropped by 6.26% and settled at $27.43. It recovered on Sunday, registering an increase of just over 4% and settling at $28.56. The current session sees INJ down almost 3% and trading around $27.80 as sellers look to drive the price toward the 50-day SMA.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
