As of December 20, 2024, Bitcoin (BTC) is trading at approximately $96,690, reflecting a recent decline from its all-time high of over $107,000 reached earlier this month.
This downturn is attributed to several factors, including profit-taking by long-term holders, who have realized profits totaling around $21 billion, and recent hawkish comments from Federal Reserve Chair Jerome Powell, indicating a potential slowdown in the interest rate cutting cycle next year.
Despite this short-term volatility, Bitcoin has experienced significant growth throughout 2024, with its market capitalization reaching approximately $1.918 trillion, accounting for 55.2% of the total cryptocurrency market.
The recent approval of Bitcoin exchange-traded funds (ETFs) and increased institutional adoption have contributed to this growth.
Looking ahead, the upcoming Bitcoin halving event in 2024 is anticipated to impact supply dynamics, potentially influencing future price movements.
Investors should remain cautious, as the cryptocurrency market is known for its volatility, and stay informed about macroeconomic factors and regulatory developments that could affect Bitcoin’s market conditions.