---
**Bitcoin Struggles Below $98k Amid Fed’s Cautious Outlook**
Bitcoin (BTC) dropped 0.63% on December 21, closing at $97,505, as investor caution took hold following the Fed's rate cut and 2025 projections. Despite three consecutive weeks of inflows into U.S. Bitcoin spot ETFs, investor demand remains uncertain due to daily outflows and concerns over the Fed’s stance.
The SEC recently approved two hybrid Bitcoin-Ethereum ETFs, which could drive future demand for crypto assets. ETF Store President Nate Geraci noted that these products are likely to attract strong interest due to their diversification benefits. However, BTC's short-term outlook remains dependent on ETF flows, U.S. economic data, and regulatory developments, with the potential for BTC to retest $100k or fall below $90k.
Stay tuned for updates on market trends and ETF impacts on BTC and ETH.
---
