Bitcoin Price Analysis: Can BTC Complete A Christmas Miracle And Reclaim $100,000
Bitcoin (BTC) has reclaimed $89,000 after starting the week in positive territory. The flagship cryptocurrency is up over 1%, trading around $89,030 as it looks to retest the $90,000 mark.
Investors hope a break above $90,000 could ignite a rally, driving the price towards $100,000. However, such a move appears unlikely in the short term.
Market indicators suggest traders remain hesitant following a breakdown early in the month. However, broader fundamentals indicate Bitcoin is consolidating rather than declining.
Gold Surges To New Highs
Bitcoin (BTC) crossed $89,000 early on Monday as markets opened in positive territory. Traders are positioning themselves across equities, commodities, and crypto, as liquidity thins out over the holiday week. The crypto markets held steady over the weekend, with the market cap up almost 1% at $3.01 trillion.
Meanwhile, US stock futures also pushed higher, building on a 0.9% increase by the S&P 500 on Friday. Oil prices rose as tensions between the US and Venezuela continued escalating, as President Trump intensified action against Venezuelan tanker flows. Meanwhile, gold jumped to a new record of $4,383.73 per ounce, as expectations of rate cuts in 2026 grew. Rising demand for safe-haven assets and a softer dollar have also boosted gold prices. Meanwhile, 10X Research stated the market is quietly de-risking, adding,
Futures positioning, ETF flows, and option markets are sending a coordinated signal about how traders are de-risking into year-end.
Hong Kong Could Allow Insurers To Invest In Crypto
Hong Kong is mulling a new law that could allow insurance firms to invest in cryptocurrencies. According to reports, the move will be the first time its insurance regulator outlines how insurance firms could add crypto to their balance sheets. The draft framework states that crypto assets will be subject to a 100$ risk charge, meaning insurance firms must hold capital equal to their crypto exposure. This makes crypto investments possible, but at a very high cost. Meanwhile, risk charges for stablecoins will be linked to the fiat currency they are pegged to if the issuer is regulated in Hong Kong.
The proposal comes as Hong Kong continues building its digital asset framework. It recently approved a stablecoin licensing regime, requiring issuers to hold at least HK$25 million in paid-up capital and back tokens with liquid assets. As of June 2025, Hong Kong has 58 authorized insurers, with the industry generating $82 billion in gross premiums in 2024.
Tom Lee Addresses Recent Controversy
Fundstrat co-founder Tom Lee has responded to a recent post on X, which flagged conflicting outlooks over Bitcoin’s price action between Fundstrat’s Sean Farrell and Lee. The controversy began after an X user shared screenshots highlighting conflicting outlooks from the Fundstrat leadership. It highlighted a comment by Fundstrat’s head of digital asset strategy, Sean Farrell. Farrell outlined a base case in which Bitcoin could drop to $60,000 in 2026. Another comment highlighted Lee’s public comments, which suggested the flagship cryptocurrency could surge to new all-time highs in early 2026. The comments gained significant traction online and drew a response from a user claiming to be a Fundstrat client.
The user explained that Fundstrat’s senior management works with different mandates, distinguishing between technical analysis, portfolio-level risk management, and long-term macro views. The post added that Farrell’s comments reflected a defensive positioning that focused on drawdown risk, flows, and cost bases. On the other hand, Lee’s role focused on macro liquidity cycles and structural shifts, including the idea that institutional adoption is changing Bitcoin’s four-year cycle. Lee acknowledged and responded to the post, a move interpreted as an agreement with the explanation.
Bitcoin (BTC) Price Analysis
Bitcoin (BTC) is trading around $89,500 as it inches towards the $90,000 mark. The flagship cryptocurrency registered a sharp increase on Friday, rising over 3% to $88,092. Price action remained positive over the weekend as BTC registered a marginal increase and settled at $88,639. The price crossed $89,000 on Monday, up over 1% at $89,500.
Bitcoin is being supported by expectations of inflation easing and a shifting rate cut outlook. The latest CPI data has reinforced expectations that the Federal Reserve could initiate more rate cuts in 2026. Additionally, institutional interest remains steady, with spot Bitcoin ETFs registering consistent inflows. The investment products registered $457 million in inflows on Wednesday. However, Thursday registered $161 million in outflows, and $158 million on Friday. Vikram Subburaj, CEO of Giottus, commented on Bitcoin’s current price structure and near-term prospects, stating,
Dense liquidity around this level is turning it into a trading resistance, with buyers waiting for confirmation and sellers using strength to hedge […] Altcoins reflect this caution, with strength appearing only in pockets rather than as a broad rotation […] Treat this as a consolidation phase. Avoid chasing moves near $90,000, watch the $86,000-$87,000 support zone closely, and add exposure only if Bitcoin can sustain a break above $92,000 with improving volumes.
Meanwhile, the Bank of Japan’s move to hike interest rates failed to support the yen, which crashed to record lows. Authorities have hinted at intervening if the decline continues.
BTC started the previous week in bearish territory, dropping 1.99% to $86,417. However, it recovered on Tuesday, rising 1.66% to reclaim $87,000 and settle at $87,854. The price reached an intraday high of $90,336 on Wednesday but lost momentum after reaching this level and settled at $86,209. Bitcoin bulls made another attempt to breach the $90,000 ceiling as the flagship cryptocurrency reached an intraday high of $89,447. However, selling pressure at upper levels forced BTC into a retreat as it settled at $85,460, down almost 1%.
Source: TradingView
Despite the overwhelming selling pressure, BTC recovered on Friday, rising over 3% to $88,092. Price action remained positive over the weekend as BTC registered marginal increases on Saturday and Sunday, settling at $88,639. The price is up over 1% during the ongoing session, trading around $89,500 as buyers look to reclaim $90,000. If BTC reclaims $90,000, it could retest the $94,000 level. A break above this level could drive it towards $100,000. However, if selling pressure returns, the price could see a deeper correction to $80,000.
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.