Originally published on: December 12, 2024
Bitcoin made history on December 11 with its highest daily close ever, reaching over $100,000 in price action. This surge in BTC price marked a significant milestone for the cryptocurrency market.
Market analysts and experts were quick to comment on this impressive performance, with trader Michaël van de Poppe emphasizing the importance of the $100,000 level for BTC. Despite the volatility earlier in the week, Bitcoin managed to pull away from its local lows and achieve record highs.
Charles Edwards, founder of Capriole Investments, highlighted the stability in the market following the surge past $100,000. He noted the cleansing of leveraged positions and the impact on short sellers who felt the heat during the rebound.
Interestingly, despite Bitcoin reaching all-time highs, its futures basis remained unusually low at 15%. This discrepancy between spot and futures market pricing indicates a unique market dynamic that experts found surprising given the current bullish sentiment.
Zaheer Ebtikar, co-founder of Split Capital, shared his astonishment at the futures basis, calling it “absolutely insane.” The futures basis typically increases during Bitcoin bull markets, reflecting heightened speculation and optimism about future price growth.
While these developments are exciting for investors and traders, it’s important to remember that all trading moves involve risk. It’s crucial to conduct thorough research and analysis before making any investment decisions.
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