Bitcoin (BTC) experienced a rather turbulent end to November, reaching a local bottom of $90,796 on Tuesday. Notably, the market bulls have shown some resilience in the past few days producing a market gain of 5.9% to move the digital asset back above $96,000. Interestingly, as December begins, popular market analyst Ali Martinez has backed BTC to resume its uptrend reaching a potential price target of $140,000.
Prepare For Bullish December – Analyst
In an X post on November 30, Martinez predicted Bitcoin is likely to maintain a positive performance going into the last month of 2024.
So far, the crypto market leader has captured significant investor interest in Q4 2024, gaining by 10.76% in October and 37.99% in November. The BTC market has been strongly bullish, driven by several factors including the recent Fed rate cut in November, Donald Trump’s electoral victory, and high market inflows into the spot Bitcoin ETFs.
Moving forward, December historically presents itself as a two-phased month for Bitcoin proven by an average return of 5.45% and a median return of -3.59% over the past 11 years.
However, Martinez explains that Bitcoin has traditionally surged in any December following the US Presidential elections, as evidenced by gains of 30.80% and 46.92% in 2016 and 2020, respectively. If the premier cryptocurrency mirrors this similar pattern from these previous bull cycles, the analyst predicts Bitcoin to trade between $125,000 – $140,000 before 2024 runs out.
According to data from the BTC weekly chart, the asset’s 100-day simple moving average (SMA) remains far above its price signaling an uptrend continuation in agreement with Martinez’s projection. However, a relative strength index (RSI) of 75.56 indicates Bitcoin has been overbought and is vulnerable to sudden price falls.
Investors Withdraw $5 Billion Bitcoin From Exchanges
In more positive news for the Bitcoin community, over 55,000 Bitcoins, valued at $5.34 billion, have been moved from crypto exchanges over the last three days. This development is largely interpreted as bullish as it reduces available Bitcoin supply on exchanges, potentially decreasing selling pressure. Moreover, it signifies investors’ anticipation of immediate price gains by BTC.
At the time of writing, BTC trades at $96,203 following a 0.43% loss in the past 24 hours. In any further ascent, Bitcoin will encounter minor resistance at $97,300, which should provide no major opposition as the premier cryptocurrency is largely tipped to break above $100,000 sooner or later.
Meanwhile, BTC’s daily trading volume, valued at $31.98 billion, is down by 41.27% indicating a decline in traders’ participation and general market activity.
Source: NewsBTC