Bitcoin has struggled to regain momentum this Christmas, trading below $90,000 despite the market's festive mood. Expectations for a holiday rally are rising amid bearish price trends.
At the time of writing, Bitcoin failed to sustain its recent gains and fell slightly to close at around $86,935. Low holiday trading volumes, ETF outflows and large options expirations are adding to the pressure on the world's largest cryptocurrency.
Bitcoin performance in recent Christmas
Bitcoin’s Christmas performance has changed significantly over the past three years.
- 2023: $43,665
- 2024: $94,120
Last year's Christmas Rally brought in more than $94,000, which set a high bar. Bitcoin has fallen well below that level this year, raising questions about whether another festive breakout is possible.
Why Bitcoin is stuck below $90,000
Bitcoin has continued to consolidate within a narrow range between $85,000 and $90,000 throughout December. Analysts note that lower liquidity during the holiday period suppressed strong price movements in either direction.
ETF-related selling and large option expirations are also limiting upside momentum. However, from a technical perspective, the signals are mixed.
Bitcoin continues to oscillate between clear levels.
- Support: $85,000 to $86,000
- Resistance: $92,000 to $94,000
The $90,000 level is currently a strong resistance level and has been rejected multiple times over the past week.
Will Bitcoin Rise During Christmas?
Bitcoin appears to be oversold in the short term and could attempt a pullback towards $90,000-$91,000, where liquidity is increasing. If buying pressure intensifies, there is a possibility of a temporary rebound over Christmas.
However, if the current support cannot be sustained, Bitcoin could fall towards $82,000, especially if broader market sentiment weakens.
