Bitcoin traded around the low 90s after failing to break the $96,000 resistance multiple times throughout the day.
With an intraday low of $93751, the leading cryptocurrency did little to help push the overall cryptocurrency market capitalization to this cycle’s high of nearly $4 trillion.
At press time, the market was down 3.32% over the past 24 hours, valued at $3.42 trillion.
The overall altcoin market also saw a weak performance, with only one of the top 99 altcoins recording double-digit gains and most of the major names dressed in Christmas red.
The Altcoin Season Index at 46 indicated that interest has waned as a result of Bitcoin’s poor performance and a slightly bearish sentiment prevailing in the market.
The top crypto remains the dominant force, accounting for over 57% of the current market capitalization.
Will Bitcoin Rise Again?
The Christmas season typically brings a market surge, which traders call the “Santa Rally.” But this year it seems to be delayed.
Hawkish Comments Federal Reserve Chairman Jerome Powell said last week that Bitcoin was being cited as the primary reason for difficulties in surpassing the six-figure mark again.
Meanwhile, profit-taking has accelerated among long-term investors after BTC reached an all-time high (ATH) of $108,135.
Although major corporations prefer micro strategy and japan’s metaplanetTogether El Salvador And whale investors continued to buy on the dip, with analysts warning that BTC could be entering a correction phase.
However, it is important to note that experts have consistently reminded us that such corrections are healthy for extended rallies.
Bitcoin’s performance during previous bull runs also paints a similar picture, as bellwethers are known to correct by 20% after hitting a new ATH.
Prominent analyst Rect Capital told his over 522k followers on X that BTC had recently confirmed a Bearish Engulfing Candlestick formation on the weekly charts after losing a key support level.
According to the analyst this could happen Agreed A sign that the cryptocurrency is “converging into a multi-week correction.”
According to pseudonymous analyst Jelle Ide, who points to historical price action, this correction phase could last for a few more weeks.
In contrast, Charles Edwards, founder of Capriole Investments, offered a bullish perspective through another historical pattern.
Notably, December 26, which is just three days away, is historically the best performing day for the crypto market with the highest daily gains. that’s how he is Ongoing The idea of a possible “X-Mas relief bounce”.
However, trader Josh Rager suggested that Bitcoin could drop to $75,000, noting that this is in line with the typical 30% pullback seen during bullish periods.
At writing, one BTC was selling for $93,260, and the price was down 2.1% in the last 24 hours.
Meanwhile, the major gainers in the altcoin market at press time were:
come
Decentralized money market protocol Aave was the best performing project for the day, with AAVE up by 12.4% in the last 24 hours.
Source: coinmarketcap
With a market capitalization of over $5 billion, the token saw an increase in trading activity, confirmed by its trading volume, which was up by more than 64.30% in the last 24 hours.
There was no specific reason behind the price increase, and the gain was part of a broader correction across the DeFi sector. Strong technicals and retail buying also helped AAVE’s price action.
The altcoin has broken the $298 support level, and analysts expect prices to climb higher if Bitcoin trades sideways in the coming days and potentially hits its all-time high of $661,69 by early Q1 2025. Can break.
virtual protocol
Virtual, the native token for AI agent Launchpad Virtual S Protocol, rose more than 8% in the past 24 hours to an intraday high of $2.72.
Source: coinmarketcap
At press time, the altcoin had a market capitalization of approximately $2.5 billion and a daily trading volume of just over $300 million, up 29.70% on the previous day.
With no specific protocol-related developments in the current rally, Virtual continued to benefit from the promotion of AI agents this season.
Launching AI agents requires users to lock an altcoin to the platform, which increases demand and helps drive up the price of the token.
Analysts remain positive on the short-term prospects of the token with some pointing to current price levels as a good entry point.
Long-term targets for the token range from $8 to $10.
At the time of writing, the token was trading at $2.58.
radium
Radium (RAY) rose 6.7% in the last 24 hours, reaching a daily high of $4.66. Its total market capitalization was more than $1.3 billion.
Source: coinmarketcap
The native token for the decentralized exchange was also one of the beneficiaries of the DeFi market rebound.
Solana-based dexes have seen significant activity as a result of meme coins, leading to an increase in the price of RAY.
Tokens launched on popular meme coin deployer Pump.Fun have contributed to this increased activity.
Pump.Fun allows users to create meme coins on the Solana blockchain, and once the token’s market cap reaches $69,000, liquidity is automatically added to Radium.
This surge in meme coin activity has driven higher trading volumes on Radium, increasing the platform’s fee revenue and guaranteed rewards for RAY holders, incentivizing more traders to buy and stake the altcoin. Is.
With the rise of meme coins, analysts expect the hype to continue, leading to more demand for RAY and potentially driving up its price.
Post AAVE, VIRTUAL, RAY lead altcoins as Bitcoin begins correction first appeared on Invez
