According to Foresight News citing Decrypt, Bitcoin has recently faced downward pressure due to macroeconomic changes and market sentiment. Although it broke through the historical high of $108,000 last December, Bitcoin is currently retreating due to a stronger dollar, increased volatility, and cautious trader attitudes. Joe McCann, founder and CEO of Asymmetric, stated that market signals such as the Federal Reserve's hawkish news conference on December 18 and the significant rise of the volatility index (VIX) have increased the probability of short-term declines. He believes that while the short-term outlook is bearish, the long-term remains bullish.

Additionally, the unexpected strengthening of the Dollar Index (DXY) has also become a focal point. After the Federal Reserve cut interest rates by 25 basis points, the DXY broke through multi-year resistance levels, reflecting market dynamics of global liquidity constraints and safe-haven demand. Singapore-based crypto trading firm QCP Capital noted in a report to investors that although a favorable regulatory narrative supports the spot market, the market environment at the beginning of January may be unstable, as structural risks such as the debt ceiling issue could lead to market volatility. Analysts believe that Bitcoin's performance will continue to be closely related to Federal Reserve policies and the performance of the dollar. Short-term adjustments provide investors with an opportunity to buy on dips, but market volatility may pose challenges for investors.