Bitcoin (BTC) experienced a turbulent end to November, hitting a local low of $90,796 on Tuesday. Notably, market forces have shown some resilience over the past few days, producing a market gain of 5.9% to take the digital asset back above $96,000. Interestingly, as December begins, popular market analyst Ali Martinez has backed BTC to resume its uptrend to reach a potential price target of $140,000.
Prepare for a bullish December – Analyst
in the An X post on November 30thMartinez predicted that Bitcoin is likely to maintain a positive performance in the last month of 2024.
So far, the crypto market leader has garnered significant investor interest in Q4 2024, rising 10.76% in October and 37.99% in November. The BTC market has been strongly bullish, driven by several factors including The latest Fed rate cut in NovemberDonald Trump’s election victory, and High market flows in spot bitcoin ETFs.
Moving forward, December historically presents itself as a two-phase month for Bitcoin as evidenced by an average return of 5.45% and a median return of -3.59% over the past 11 years.
However, Martinez points out that Bitcoin has traditionally rallied in any December following the US presidential election, as evidenced by gains of 30.80% and 46.92% in 2016 and 2020, respectively. If the premier cryptocurrency shows a similar pattern from these previous bull cycles, the analyst predicts Bitcoin to trade between $125,000 – $140,000 before 2024 ends.
According to BTC weekly chart data, the asset’s 100-day simple moving average (SMA) remains well above its price, indicating an uptrend continuation in agreement with Martinez’s projection. However, a relative strength index (RSI) of 75.56 indicates that Bitcoin is overbought and vulnerable to sudden price declines.
Investors withdraw $5 billion in bitcoins from exchanges
In more positive news for the Bitcoin community, more than 55,000 Bitcoins, worth $5.34 billion, have been transferred from crypto exchanges in the past three days. This development Largely interpreted as bullish because it reduces the supply of Bitcoin available on exchanges, potentially reducing selling pressure. Additionally, it reflects investors’ expectation of immediate price gains through BTC.
At the time of writing, BTC is trading at $96,203 after a loss of 0.43% in the last 24 hours. In any further upside, Bitcoin will face minor resistance at $97,300, which should not lead to major resistance as the major cryptocurrency is broadly signaled. Break above $100,000 Sooner or later.
Meanwhile, BTC’s daily trading volume, valued at $31.98 billion, is down 41.27% reflecting a decline in trader participation and general market activity.
