Bitcoin (CRYPTO: BTC) rallied to new all-time highs above $100,000 earlier this month before pulling back. The question remains: Is the world's largest crypto done running for a while or will the party resume this holiday season?
What To Know: Bitcoin climbed to an all-time high above $108,000 last week as investors continued to bid up prices in the wake of President-elect Donald Trump's election victory.
Trump has taken a favorable stance on crypto regulation and has even floated the idea of creating a Strategic Bitcoin Reserve. Optimism about a crypto-friendly administration grew after Trump's election win, as the president-elect selected several lawmakers with pro-crypto leanings for key cabinet positions ahead of his return to the White House.
Bitcoin was up approximately 5.57% over a 24-hour period, trading around $98,540 at the time of writing, according to Benzinga Pro. Bitcoin is up more than 50% over the past three months and has risen more than 135% since the start of the year.
Benzinga recently asked readers if they thought Bitcoin would cross back above the highly-watched $100,000 level by Christmas Day. Here's a look at the results:
- Yes, I expect a rally: 56%
- No, I don't think so: 44%
A majority of readers expect Bitcoin to take part in the Santa Claus rally this year. The final five trading days of the year and the first two trading days of the following year are historically strong for risk assets. The Santa Claus rally period officially kicked off on Tuesday.
The S&P 500 Index has gained 1.3% on average during the Santa Claus rally period since 1950, according to Forbes. A recent market study reported by CoinTelegraph showed that crypto assets participate in the holiday rally about 80% of the time. Historically, total crypto market capitalization has gained between 0.7% and 11.8% during the holiday period.
Despite the 5% jump on Tuesday, Bitcoin is still down more than 8% over the past week. Bitcoin has not traded above the $100,000 level since Dec. 19.
Beyond the short-term holiday season price fluctuations, longer-term price predictions vary greatly, with some of the most bullish supporters, like Michael Saylor, predicting Bitcoin will hit $13 million per coin. At the same time, opponents like Peter Schiff expect the crypto to eventually become worthless.
- Bitcoin, Ethereum, XRP, Dogecoin Surge Around 5% In Christmas Eve 'Santa Rally'
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This study was conducted by Benzinga from Dec. 23 through Dec. 24, 2024, and included the responses of a diverse population of adults 18 or older. Opting into the survey was completely voluntary. The study reflects results from 88 respondents.
This illustration was generated using artificial intelligence via Midjourney.