After several weeks of soaring, Bitcoin has recently shown signs of weakness. However, Bloomberg's senior commodity analyst Mike McGlone stated that this is just a normal pullback. Matrixport believes that the range of $90,000 to $95,000 could become an excellent retracement area, with the pullback expected to lay the groundwork for a new round of increases in 2025. (Background: Bitcoin's monthly demand skyrockets, supply is in crisis; meme coin $WEPE performs well in presale) (Additional background: This Friday, the 'largest ever' $14 billion Bitcoin options expiration is approaching, beware of market volatility) Since Trump's victory in early November, Bitcoin surged for several weeks. However, after breaking through $108,000 and setting a historical high on the 17th, the price began to decline continuously. Bitcoin is currently priced at $94,360, having fallen nearly 12% in the last 7 days. Bloomberg analyst: Just a normal pullback Regarding why Bitcoin has recently declined, Bloomberg's senior commodity analyst Mike McGlone published an analysis on the 23rd, stating that the current market pullback is not only seen in Bitcoin, but also in gold and other risk assets. Due to higher volatility, Bitcoin has experienced a larger drop, but for Bitcoin, it's actually just a normal pullback. Mike McGlone indicated that unlike Bitcoin, the S&P 500 index has not experienced any significant pullbacks in the fourth quarter of this year. Bitcoin's volatility is about three times that of the S&P 500. However, although the S&P 500 has not had a 10% pullback since the fourth quarter of 2023, this trend is unlikely to be sustained in 2025. Has Bitcoin/Gold Peaked? Just a bit of normal reversion in stretched risk assets may be what peaking #Bitcoin / #gold is sniffing out, and crypto is among the riskiest. That the S&P 500 hasn't had a 10% drawdown since 4Q23 is unlikely to be sustained in 2025, if history is a… pic.twitter.com/oZas9mw1q3 — Mike McGlone (@mikemcglone11) December 23, 2024 Matrixport: Bitcoin's pullback may be a buildup for a rebound in 2025 Matrixport stated that after Bitcoin surged over 40% in 30 days, it usually enters a consolidation period. The current price has dropped about 5% from a month ago. Historical data show that after similar increases, Bitcoin often experiences a pullback, consistent with past cycle patterns. In a bull market, a price pullback of 10% to 20% from recent highs typically forms an ideal re-entry zone. For example, if Bitcoin pulls back from its high of $108,000 to the range of $90,000 to $95,000, this could become an excellent retracement area. As long as the price remains within a – 20% pullback range and continues the current cycle trend, it is expected to lay the groundwork for a new round of increases in 2025. #Matrixport Today – 12/24: #Bitcoin pullback range may be a buildup for a rebound in 2025 #Matrixport #MarketAnalysis #MarketTrends #CryptoInvestment #CryptoFinance #BTC pic.twitter.com/bwdpx4qqfq — Matrixport Official Chinese (@Matrixport_CN) December 24, 2024 $20 billion options expiration this Friday Singaporean crypto investment firm QCP Capital reminded that after experiencing a washout last week, spot prices continue to maintain sideways volatility as the Christmas holiday approaches. Although the market appears calm this week, everyone's attention is focused on the upcoming massive options expiration event this Friday, with nearly $20 billion notional value of Bitcoin and Ethereum options expiring. QCP Capital noted that this figure accounts for nearly half of the total open interest of Deribit options. After the options expiration, there is a high likelihood of seeing a typical quarter-end volatility sell-off, especially if spot prices continue to fluctuate within this range and options sellers continue to roll over their short positions. Unlike those options sellers who have to wait for options expiration to release collateral, call options buyers may have already rolled over most of their positions. However, QCP Capital indicated that if Bitcoin can successfully break through the $100,000 mark, volatility may remain stable. Meanwhile, as Bitcoin continues to hover below $100,000, we may also see altcoins start to catch up again. A month ago, when Bitcoin was trading at these levels, ETH/BTC rebounded from the support level of 0.032, and a similar trend was observed at that time. Currently, Bitcoin's market share remains at 58%, and QCP Capital is closely monitoring whether this ratio will significantly decline to confirm whether funds are flowing from Bitcoin to altcoins. Related reports: The truth behind the DMM Bitcoin hack: North Korean hackers steal 4,502 Bitcoins through social engineering. Robinhood CEO: Does not rule out the possibility of using Bitcoin reserves; the company's stock price has become highly correlated with BTC. Michael Saylor: U.S. Bitcoin reserves are expected to offset $81 trillion in debt; MicroStrategy's chances of inclusion in the S&P 500 increase. "Bloomberg analyst: Bitcoin is just a normal pullback! Matrixport optimistic about $90,000 to $95,000 as the bottom, building momentum for the 2025 surge" This article was first published on BlockTempo (the most influential blockchain news media).

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