- December 11, 2024
- Posted by: admin
- Category: BitCoin, Blockchain, Cryptocurrency, Investments
The post Bitcoin Price Today: Key Factors Behind the $100K Setback appeared first on Coinpedia Fintech News
December 5 was a big day for the cryptocurrency market; it was on that day that the market achieved the milestone of $100K. Unfortunately, the market could not stay above the range for long; at the time of close on December 5, the market plummeted to $96,902.91.
Although between December 6 and 8, the market witnessed a growth of 4.2%, pushing the price again above the $100K range, in the next couple of days, the market saw the price sharply dropping by at least 4.4%. The market has not yet recovered from the fall. Let’s example what’s holding BTC back, and whether the market can break past $100,000 sustainably.
Liquidity Inflows Slow Down
Among the two key reasons that are holding Bitcoin back, the primary one is liquidity.
Reports say that inflows from stablecoins, BTC ETFs and futures markets have reduced considerably in the last 30 days. The Liquidity Impulse chart shows that inflows have sharply dropped from $15 billion to $7 billion.
Strong activity in channels, including stablecoins, BTC ETFs and futures, is necessary for the growth of Bitcoin.
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Nvidia’s Impact on Bitcoin’s Price
Secondly, since December 5, the price of NVIDIA Corporation has slipped by over 6.8%. Experts claim that there is a strong correlation between NVIDIA and Bitcoin.
Last year, both BTC and NVDA showed impressive performance; the NVDA market grew by approximately 245.53%, while the BTC market surged by over 155.4%.
This year, also, NVIDIA has outperformed Bitcoin. The NVIDIA market has raisen over 180% so far, while Bitcoin has grown just a little more than 130%.
Although in November 2024, Bitcoin demonstrated an impressive growth of 37.4% – the highest monthly return since February, it was a miserable period for NVIDIA, which could only secure a minor growth of 2.68%.
This month, the NVDA market opened at $138.67. Between December 3 and 4, it climbed from $138.22 to a peak of over $145.13. Since then, it has dropped by 6.89%.
Future Prospects for the Bitcoin Market
There is a high chance that Bitcoin could break above the $100,000 level again in the near future. However, the sustainability of the breakout depends primarily on the aforementioned two factors: liquidity inflows and overall market risk sentiment.
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FAQs
The BTC price may range between $95,500 and $102,000 for the next 24 hours.
If the bullish sentiment sustains, the star crypto may continue gaining value tomorrow.
With a potential surge, the Bitcoin (BTC) price may close the month with a high of $110,000.
In 2030, the price of 1 Bitcoin could reach a height of $610,646.
