The Federal Reserve announced that it would lower the benchmark policy interest rate by 25 basis points, which also implies that the number of interest rate cuts in 2025 may be lower than previous expectations. Subsequently, the price of Bitcoin fell below $99,000, and the price reached a minimum of $92,000. The current price remains around $95,000. Faced with the continued decline in Bitcoin market, buying at the bottom has become a popular investment strategy, but some people are worried that this time, buying at the bottom of Bitcoin will continue to rise? Want to know if you can make money by buying Bitcoin at the bottom? According to data analysis, it is quite likely that Bitcoin will rise at the bottom, but whether it will grow and whether it will make money depends on multiple factors. The editor will tell you in detail below.
Whether Bitcoin will continue to rise after buying at the bottom depends on various factors and cannot be generalized, but there are precedents of price increases in history. Bitcoin has experienced many cycles of bull markets and bear markets in history. Bottom buying usually occurs in the late stages of bear markets, and is often accompanied by price rebound and rise. Bitcoin has experienced many cycles of bull markets and bear markets in history. Bottom buying usually occurs in the late stages of bear markets, and is often accompanied by price rebound and rise USD.
According to data, the current price of Bitcoin is US$94,276.40, lower than the highest price of US$108,200, and higher than the issue price of US$0.0025. The investment return is very optimistic at 37710,559.00 times, and the market value is US$1.86 trillion. Overall, the current market of Bitcoin is still relatively good, and the price may rise in the future.
Bitcoin, as a representative of blockchain technology, has the characteristics of decentralization, immutability, anonymity, etc., which makes Bitcoin still have great potential in the future. With the continuous development and improvement of blockchain technology, Bitcoin's security and efficiency will be further improved, thus laying a solid foundation for its future development.
Bitcoin has been widely recognized and applied, and more and more institutions and investors have begun to accept Bitcoin and use it as a way to allocate assets. As the Bitcoin market gradually matures, its price fluctuations will gradually decrease, thereby attracting more long-term investors. In addition, as the laws and regulations of digital currencies are gradually improved around the world, Bitcoin’s legal status will be more confirmed, thereby further promoting its development.
Bitcoin bottom buying may make money, but the risk is higher. Bottom-buying usually refers to buying an asset when the price reaches a low or bottom in an expectation to make a profit when the price rises in the future. Bitcoin bottom-buying is no exception. Investors buy Bitcoin when the price falls to a relatively low point in order to make a profit when the price rises in the future.
The market volatility is a reality that every bitcoin investor must face. Bitcoin’s price fluctuates greatly, and it once experienced thousands of dollars in just a few days. This fluctuation is not only explained by technical analysis, but is also closely related to market sentiment, policy changes, and the global economic situation.
Bitcoin is a high-risk investment tool, suitable for investors who can withstand large volatility and have a high-risk preference. If you are a newcomer who is just starting to invest, you may panic due to the drastic price fluctuations and even make wrong decisions. Therefore, before deciding whether to buy at the bottom, investors need to carefully evaluate their psychological tolerance and financial status to avoid major losses in market fluctuations.
The price of Bitcoin is not only affected by market supply and demand, but also closely related to the technology, community support and policy environment behind it. For example, technical factors such as Bitcoin's network security, transaction speed and scalability will directly affect its future development potential. In addition, changes in regulatory policies may also have a significant impact on the Bitcoin market. Therefore, before buying at the bottom, investors must conduct in-depth research and analysis of Bitcoin’s fundamentals to ensure that their investment decisions are based on sufficient information.
Investors also need to consider their investment strategies. Buying the bottom is not a simple trading behavior, it requires investors to have certain market insight and operation skills. For example, choosing the right entry time and price, setting a reasonable stop loss and take profit, and formulating a clear investment plan are all the keys to successful bottom-buying. In addition, diversified investment is also an effective risk management strategy. By spreading funds across multiple assets, the risks brought about by volatility in a single asset can be reduced.
Since reaching a new high of $108,000 in mid-December, Bitcoin has continued to pull back and consolidate recently, and has fallen below $94,000 as of today (12/30).
Bitcoin is currently consolidating between $92,000 and $99,000 after a historic bull market in November and December. During the end of the year in Europe and the United States, trading in the stock market and cryptocurrency markets became lighter.
Since October 2024, Bitcoin has remained above the 200-day index moving average (EMA), which is regarded by many analysts as a "bull and bear support line". Being above can be regarded as an upward trend, and being below means that the downward trend has begun.
Bitcoin's daily trend is still above the 200-day EMA moving average
Rakesh Upadhyay, senior analyst at Cointelegraph, pointed out that from the daily trend, as Bitcoin fell below the 50-day moving average (US$96,124), the 20-day index moving average (EMA) also began to decline, and the relative strength indicator (RSI) was 42, entering the selling area, indicating that the shorts temporarily had the advantage.
Upadhyay predicts that if the decline continues, Bitcoin may fall to the $90,000 support level, and bulls are expected to defend strongly.
If it can rebound from $90,000 and break through the 50-day moving average, it means that there is still strong demand at the low point. If the bulls want to regain their dominance, they need to push the price to above $100,000, which may return to above $108,000.
However, if you fall below $90,000, you need to pay attention to the strong support area formed between $73,777 and $54,000, and near $75,000 is the current 200-day EMA moving average.
Analyst The ForexX Mindset is more pessimistic, predicting that Bitcoin may fall to around $81,500, while another analyst Aksel Kibar predicts a possible pullback to around $80,000, because the classic "head and shoulders top pattern" appears on the K-line, indicating that Bitcoin may experience a pullback in the next few days or weeks.
In addition to technical analysis, Cointelegraph also mentioned two data: Bitcoin Taker-Buy-Sell and perpetual contract funding rate trend.
The Taker-Buy-Sell ratio is currently 0.92. When this indicator is below 1, it means that the bears are controlling the market, and above 1 means that the bulls are controlling the situation. The market share of $USDT begins to rise, which also implies that investors are seeking hedges and temporarily withdrawing risky assets.
Although there are bearish signals on the on-chain indicators and market traders are cautious, the funding rate of Bitcoin perpetual contracts remains positive, which means that traders holding long positions still dominate the market and are willing to pay fund fees to short traders to maintain their positions.
CryptoQuant: Bitcoin perpetual contract fee rate trend
The long-term price trend of Bitcoin this cycle depends largely on the regulatory stance of the incoming Trump administration and the changes in monetary policy of the US Federal Reserve in 2025. The forecast prices of many experts and institutions are also very different.
For example, a recent report by cryptocurrency miner Blockware predicts that the price of Bitcoin will be between $150,000 and $400,000 in 2025, with the base price target falling at $225,000.
Looking forward, Forbes, a well-known foreign media, believes that the cryptocurrency industry has ushered in a historic turning point in 2024. With the listing of Bitcoin ETFs, the growth of stablecoin and the rise of Bitcoin DeFi, it is expected to usher in exponential growth in 2025.
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