Bitcoin Surges Nearly 5% to $96,100 Amid Thanksgiving Rally
Bitcoin (BTC) experienced a brief correction to around $91,000, which was a 7% decrease from its all-time high of $99,500. However, it has regained momentum, nearing the $100,000 milestone.
Market Performance and Gains
In the last 24 hours, Bitcoin gained nearly 5%, recovering to $96,100, making it a key player for reaching new record highs by month-end. This bullish trend aligns with expectations of typical Halving cycle behavior, further supported by Donald Trump’s crypto agenda advocating for BTC as a strategic reserve for the US.
This week, Bitcoin decoupled from the Nasdaq Composite, which fell by 1%. According to CNBC data, both the Dow Jones Industrial Average and S&P 500 also saw declines while Bitcoin maintained its upward movement. This trend is reflected in crypto-related stocks; Coinbase (COIN) rose over 5%, Robinhood (HOOD) increased by 4%, and MicroStrategy (MSTR) surged by 10%.
Future Outlook for Bitcoin
Market analysts express optimism regarding Bitcoin's future. Alex Thorn from Galaxy Digital stated, "the Bitcoin bull market has legs," despite potential corrections and regulatory concerns from the outgoing Biden administration. Increased adoption from institutional and corporate entities is expected to drive prices higher in the near term.
Katie Stockton of Fairlead Strategies noted that Bitcoin investors are in "uncharted territory" concerning resistance levels, indicating few historical price points for potential pullbacks. Support is identified around $74,000, establishing a solid foundation for growth. Stockton commented:
Bitcoin tends to stair-step both downwards and upwards, leading to sharp run-ups followed by consolidation. Investors should allow more room for volatility due to long-term potential.
With a year-to-date gain of 124%, Bitcoin is on track to surpass $100,000 by year-end. In comparison, Ethereum (ETH) has shown a year-to-date gain of 55% but remains behind BTC.
Featured image from DALL-E, chart from TradingView.com