As 2024 draws to a close, Bitcoin, the flagship cryptocurrency, has stabilized around $93,000, leaving investors contemplating the future. Some hope for market revitalization with the impending inauguration of Donald Trump.
Bitcoin: From Peaks to Year-End Turbulence
In 2024, Bitcoin’s price reached a historic high of $108,000, powered by the so-called 'Trump Bump,' but enthusiasm has waned since then. In recent weeks, the cryptocurrency has traded between $92,500 and $99,000 due to low activity during the holidays and decreasing transaction volumes.
Crypto Market: Between Expectations and Concerns
The global crypto market capitalization has dipped to $3.27 trillion, despite stability in the DeFi and stablecoin sectors. Current market sentiment is depicted by the fear and greed index, which has been parked at 50 for weeks. Simultaneously, increasing hacker ingenuity in exploiting investors adds to market distrust.
Impact of Trump's Inauguration on the Crypto Market
Some anticipate that Donald Trump’s inauguration could act as a catalyst for the crypto market. Experts predict that one-off events, like the forthcoming FTX repayments starting on January 3, might boost market liquidity, possibly reviving trading activity.
While many analysts are bracing for changes in the market with the arrival of 2024, it's uncertain whether it will be a rise or fall. Pessimistic forecasts, like Arthur Hayes', remind us that the crypto market is unpredictable and investors should be ready for all sorts of surprises.
