#ChristmasMarketAnalysis
The cryptocurrency market saw significant changes from December 16 to 22, 2024.
Bitcoin ($BTC ) hit a new high of around $106,000 on December 17, boosted by optimism over President-elect Donald Trump's pro-crypto stance.
However, after the Federal Reserve's meeting on December 18, which led to a rise in the 10-year Treasury yield, Bitcoin's price dropped sharply by about 11%.
By December 22, Bitcoin's price stabilized around $95,000, marking a weekly decrease of nearly 8%.
Ethereum ($ETH ) followed a similar pattern, dropping almost 16% over the week to trade near $3,200.
The total cryptocurrency market capitalization fell by over $30 billion for the second week in a row, ending at about $3.31 trillion.
This volatility is due to macroeconomic factors, including the Federal Reserve's policies affecting interest rates, and political developments like President-elect Trump's pro-crypto stance.
Investors should be cautious given the market's inherent volatility and external influences.