Bitcoin (BTC) attempted to test the $100,000 level on December 25 in an attempt to trigger a price action dubbed the “Christmas Rally.” However, the attempt did not yield the expected results and the price fell short of the target. This failed recovery has raised concerns among short-term investors, and hopes for Bitcoin to return to six-figure levels have waned.
Bitcoin’s failure to break the $100,000 level has pushed its price below $97,000. This has negatively affected Bitcoin’s dominance in the market. In general, market sentiment is bearish. IntoTheBlock’s “Addresses by Time Held” indicator has shown a decrease in the activity of investors holding Bitcoin for 30 to 365 days. This group of investors is generally considered a reflection of market sentiment. The growth of this group usually indicates that the market is optimistic. However, the decline in recent weeks indicates that investors’ confidence is shaken. If this trend continues, Bitcoin could face further pressure.
Another important indicator, “Short-Term Conservative Net Unrealized Profit/Loss” (STH-NUPL), is a metric used to measure the mood of investors. According to Glassnode data, this indicator has fallen into the area between “hope” and “fear.” This indicates that short-term investors are losing faith in a major recovery. If this trend continues, it may be difficult for Bitcoin to gain demand and increase in price. The pressure on investors’ uncertainty can make Bitcoin’s potential to rise even more difficult. However, a strong buying movement or positive news that can change the general trend of the market could reverse the situation.
Bitcoin is struggling to break through the resistance at $99,332 on the daily chart. Its failure to break through this level is one of the main reasons why the price has not been able to recover in the short term. In addition, the Relative Strength Index (RSI) has fallen below the neutral level of 50.00, indicating that the momentum on Bitcoin has weakened. If this situation continues, the BTC price may fall to $85,851. However, if Bitcoin bulls break the $99,332 resistance, this could lead to a change in trend. In such a scenario, the price may rise to $110,000. Therefore, it is important for investors to carefully monitor market movements and critical support-resistance levels.
Bitcoin’s failure to reach the $100,000 target has created uncertainty in the market. However, the general market situation and technical indicators point to Bitcoin’s potential to recover.