Bitcoin Price Analysis: BTC Dips Below $90,000 Amid Fading Risk Appetite
Bitcoin (BTC) fell below $90,000 on Sunday as risk appetite waned ahead of a key week for the US market. Investors are repositioning themselves as they prepare for US and global data releases. Meanwhile, low liquidity and a weak altcoin market also pushed prices lower.
Some analysts have also blamed the Bank of Japan for the rising selling pressure. The flagship cryptocurrency is down nearly 1% over the past 24 hours, trading around $89,794. Meanwhile, Strategy’s Michael Saylor has hinted at another Bitcoin buy despite the latest decline.
Saylor Hints At Next Bitcoin Buy
Strategy executive chairman Michael Saylor has hinted at the firm’s next Bitcoin purchase as the flagship cryptocurrency slipped below $88,000 late on Sunday/early Monday. Bitcoin fell to a low of $87,600 on Coinbase before recovering to reclaim $89,000, a pattern that has become common over the past few weeks. Saylor hinted at another purchase by posting Strategy’s Bitcoin portfolio chart with the caption “Back to More Orange Dots.” The firm’s last buy was on December 10, according to data from SaylorTracker.
Strategy currently holds 660,624 BTC, worth around $58.5 billion at current prices.
Hassett Bats For Fed Independence
Kevin Hassett, one of the leading candidates to replace Fed Chair Jerome Powell, has insisted the central bank will remain insulated from political pressure. During an interview with Face the Nation, Hassett addressed several concerns, including Trump’s potential influence on monetary policy. When asked if Trump’s opinions could influence decision-making, Hassett stated,
No, no, he would have no weight. It’s just his opinion matters if it’s good, you know, if it’s based on data.
Hassett insisted that all policy arguments would be judged on merit by the Federal Reserve’s Federal Open Market Committee (FOMC) and its voting members.
If you go to the committee and you say, well, the president made this argument, and that’s a really sound argument, I think, what do you think? If they reject it, then they’ll vote differently.
According to reports, the search for Fed Chair Jerome Powell’s successor has been narrowed down to Hassett and former Fed governor Kevin Warsh.
Bitcoin OGs Would Buy Satoshi Nakamoto’s BTC Stash
Long-term Bitcoin holder Willy Woo believes Bitcoin OGs would buy Satoshi Nakamoto’s stash of 1 million BTC if a quantum computer hacks the wallets and dumps the coin on the market. Woo stated that many Bitcoin OGs would buy the dip but warned that if the 4 million BTC stuck in old, vulnerable wallet types were dumped onto the market, it could trigger a multi-year bear market.
[The] </span></i><a href="https://coinstats.app/coins/bitcoin/"><b><i>BTC</i></b></a><i><span style="font-weight: 400;"> network would survive; most coins are not immediately vulnerable. However, 4 million coins in P2PK addresses, including Satoshi’s, have their public keys in the open and are vulnerable.
Bitcoin (BTC) Price Analysis
Bitcoin (BTC) registered a sharp drop over the weekend, slipping below $90,000 once again. The flagship cryptocurrency fell 2.45% on Friday and registered a marginal decline on Saturday to $90,255. However, selling pressure intensified on Sunday, with BTC dropping to a low of $87,565 before settling at $88,171. BTC is up almost 2% during the ongoing session, trading around $89,921.
Analysts have blamed the return of selling pressure on an imminent interest rate hike by the Bank of Japan. One Bitcoin analyst noted in a post on X,
JAPAN WILL CRASH BITCOIN IN 5 DAYS!!! People are seriously underestimating what Japan is about to do to Bitcoin. The Bank of Japan is expected to raise rates again on December 19. That might not sound like a big deal… until you remember one thing: Japan is the largest holder of U.S. debt on the planet. Every recent BoJ hike has been followed by a violent sell-off in Bitcoin.
Prediction platform Polymarket has assigned a 98% chance that the Bank of Japan will hike interest rates by 0.25%. However, some analysts believe the market has already priced in Japan’s impending interest rate cut, and expect prices to remain range-bound between $80,000 and $100,000.
We do expect prices to stay range-bound, though, very much in this $80K to $100K zone, as traders wait for a catalysis that may not come.
BTC ended the previous weekend in positive territory, rising 1.27% to reclaim $90,000 on Sunday. The price registered a marginal increase on Monday, moving to $90,653. Buyers retained control on Tuesday as BTC rose 2.25% to cross $92,000 and settle at $92,690. Despite the positive sentiment, price action turned bearish on Wednesday, falling 0.71% to $92,035.
Source: TradingView
BTC fell to an intraday low of $89,257 on Thursday as selling pressure intensified. However, it rebounded from this level to reclaim $90,000 and settle at $92,542. The price lost momentum on Friday, falling 2.45% to $90,278. Price action remained bearish over the weekend with BTC registering a marginal decline on Saturday. Selling pressure persisted on Sunday as the price fell 2.31%, slipping below $90,000 to $88,171. BTC has recovered during the ongoing session, up almost 2% at $89,917 as it looks to reclaim $90,000.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.