Bitcoin Price Rises to $96,270 Following Recent Market Correction
Bitcoin’s drop below $91,000 recently is notable, especially following the anticipation of BTC reaching six figures, peaking around $99,800. Despite this, Bitcoin's -8% dip over the last week is minor compared to previous volatility during a 237-day downward trend from March 14, 2024, to November 6, 2024, as noted by Galaxy Digital research head Alex Thorn.
During that period, there were at least seven drawdowns larger than the recent decline, with five exceeding 15%. Current BTC movements primarily involve coins created between $56,000 and $72,000, indicating that the sell pressure is largely from buyers in 2024 taking profits rather than earlier investors.
Thorn described these corrections as “healthy.” While global rates and money supply may pose challenges for risk assets, he highlighted ongoing catalysts. Reports indicate that the Trump Administration might expand the CFTC’s regulatory authority over digital assets, potentially diminishing SEC influence. This change could provide a supportive framework for industry growth in the US.
As of 2 PM ET Wednesday, BTC's price was approximately $96,270, reflecting a 4.7% increase within 24 hours. Factors contributing to potential BTC support heading into 2025 include improved regulatory clarity, institutional adoption, and a possible US strategic bitcoin reserve.
Market participants are advised to remain vigilant.