Bitcoin (BTC) continues its bullish momentum, trading at $97,935, although low trading volumes signal cautious market sentiment. The cryptocurrency has rebounded strongly from a month-low of $91,816, driven by growing institutional interest, including MicroStrategy’s $200 million BTC purchase and U.S. Bitcoin ETFs amassing nearly $110 billion in cumulative holdings. Despite these tailwinds, BTC faces critical resistance near $98,000, with broader market uncertainty capping its upside potential. Institutional Demand Drives Bitcoin Recovery Institutional interest in BTC has surged, bolstered by significant developments in the market: ETF Growth: U.S. spot Bitcoin ETFs now hold $110 billion in cumulative assets, accounting for 5.7% of BTC’s total supply. MicroStrategy’s Investment: The company’s $200 million BTC purchase highlights its confidence in the asset’s long-term value. LATEST: US spot Bitcoin ETFs are approaching $110 billion in total holdings. They now hold over 5.7% of the total $BTC supply. pic.twitter.com/8UYk9YnJkc — #Wazirx Pesa Wapas Do (@CryptoSchool13) January 3, 2025 These factors have fueled Bitcoin’s rally, with the cryptocurrency gaining nearly 8% since the start of 2025. Despite this, trading volumes remain subdued, suggesting that market participants are cautious about further price increases. Additionally, Bitcoin’s rally coincides with broader market optimism. Ethereum recorded record ETF inflows of $2 billion in December, while XRP surged 20% since January, adding to the positive sentiment across altcoins. Marathon Digital’s Strategy and Long-Term Outlook Fred Thiel, CEO of Marathon Digital Holdings, emphasizes the importance of a long-term approach to Bitcoin. Highlighting its historical resilience, Thiel points out that Bitcoin has posted annual gains of 29% to 50% in 11 of the last 14 years. Thiel advises retail investors to allocate small amounts to Bitcoin monthly, noting its potential to outperform traditional investments. MARA CEO's Bitcoin Strategy: "Invest and Forget" Fred Thiel from Marathon Digital (MARA) has an interesting take on #Bitcoin investment: adopt an 'invest and forget' approach due to its strong historical performance. Could this be the strategy for long-term gains? Check out… — Marco – cryptohulkemist.eth (@CryptoHulkemist) January 4, 2025 He also identifies several catalysts for Bitcoin’s growth in 2025: U.S. Bitcoin Reserve: Discussions around a national Bitcoin reserve could boost institutional confidence. ETF Adoption: Broader acceptance of Bitcoin ETFs could attract significant institutional inflows. Regulatory Clarity: A potential crypto-friendly regulatory environment may support Bitcoin’s price. Marathon Digital’s strategy aligns with this outlook, with the company holding 44,394 BTC, valued at $4.3 billion. This marks a 120% increase in reserves over the past year, further demonstrating institutional confidence in Bitcoin’s future. Bitcoin Price Analysis: Technical Outlook Bitcoin is trading at $97,936, with resistance looming at $98,000, capped by a descending trendline on the 4-hour chart. A successful breakout could pave the way to $100,022 and $102,020. Support Levels: Immediate support is at $95,837, with additional safety nets at $95,446 and $91,721. These levels could stabilize the price if selling pressure intensifies. Technical Indicators: Relative Strength Index (RSI): At 60, RSI indicates moderate buying pressure, suggesting room for further gains. 50-Day EMA: Bitcoin trades above its 50-day EMA at $95,837, reinforcing short-term bullish momentum. You might also like Bitcoin Price Prediction 2024 – 2034 $BEST Wallet: Web3 Simplified, $6.27M Raised in Presale Best Wallet is redefining Web3 with an innovative platform that supports thousands of cryptocurrencies across 50+ major blockchains, including Bitcoin and Ethereum. It enables users to securely buy, sell, and swap assets within and across chains—without requiring KYC verification. The $BEST token presale has already raised a remarkable $6,270,984, and there are less than 24 hours remaining until the next price increase. Currently priced at $0.02345, $BEST offers exclusive rewards and early access to projects within its rapidly expanding ecosystem. Why Invest in $BEST? Utility-Driven: Designed for seamless use in DeFi, staking, and token claims. Early-Mover Advantage: Gain access to presale perks and exclusive project launches. Expanding Ecosystem: Rapidly growing community with partnerships on trending platforms like Pepe Unchained. Best Wallet continues to attract attention, as reflected by active engagement on its Twitter and Telegram channels. With practical features, robust security, and a d The post Bitcoin Hits 97K but Low Trading Volume Signals Market Uncertainty appeared first on Cryptonews .
