Bitcoin Recovery Hinges on $3.32T Market Cap Threshold – Year-End Price Predictions Diverge

Source: CryptoNewsNet Original Title: Bloomberg Analyst Shares Year-End Bitcoin Price Prediction! Will a “Santa Claus Rally” Come? Here Are the Details. Original Link: https://cryptonews.net/news/bitcoin/32120392/ Bitcoin has shown signs of recovery since November 21st, forming higher lows and highs. For this rise to turn into a sustained bull trend, the total cryptocurrency market capitalization needs to surpass $3.32 trillion.

Current Market Status

The global crypto market capitalization currently stands at $3.16 trillion, a 2.5% increase from the start of the week, but still below its previous peak of $3.21 trillion.

Liquidation Dynamics

Data shows that the most significant reason for the recent drop in Bitcoin is high leveraged positions. In the last 24 hours, $376 million worth of long positions were liquidated, a figure almost three times greater than the liquidation of short positions.

Market Headwinds

Despite the US Federal Reserve announcing another interest rate cut on Wednesday, expectations of fewer cuts in the next two years provided limited support to the market.

Year-End Price Predictions

Analysts are divided on Bitcoin’s trajectory:

• One prediction suggests Bitcoin will trade between $84,000 and $100,000 by the end of the year
• Another analyst suggests the traditional “Santa Claus rally” may not happen this year and BTC could fall below $84,000

Key Support and Resistance Levels

Markets are now watching to see if Bitcoin can hold onto its critical support level in the $90,000–$91,000 range. A break below this level could lead the price to test the lower end of the current range. In the event of a potential strengthening, the $94,000 resistance level could come back into play.