Bitcoin Hits Record High as Ethereum Follows: Is the Christmas Rally Starting?

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Bitcoin and Ethereum Price Surge

According to real-time data, Bitcoin reached a historic peak of $107,822** on Monday afternoon (Eastern Time), marking a **5.5% increase** from Friday's closing price. Ethereum also surged to **$4,081, its highest level since December 2021, slightly surpassing previous peaks recorded in March and early December this year.

At the time of writing:

CoinGlass reports $489 million in liquidations over the last day, including:

Institutional Investment Reaches New Highs

Global cryptocurrency funds continue attracting institutional capital, with inflows hitting record levels. Key highlights:

👉 Discover how institutional adoption is reshaping crypto markets

Bitcoin and Ethereum ETFs Lead the Charge

Bernstein analyst Gautam Chhugani notes: "Ethereum ETF inflows now exceed $800 million weekly, reflecting accelerating demand."

Other altcoins also saw inflows:

The "Christmas Rally" Begins

Historically, Bitcoin has gained 8–46% in December (6 of the last 8 years). This year’s rally may have started early, driven by:

  1. MicroStrategy’s Nasdaq 100 Inclusion: The firm’s stock surged 600%+ in 2024, with a $94 billion market cap. Analysts suggest this creates a feedback loop—higher stock prices enable more Bitcoin purchases, boosting BTC demand.
  2. Macro Tailwinds: Potential Fed rate cuts, cooling inflation, and pro-crypto U.S. policy shifts under a Trump administration.

IG analyst Tony Sycamore observes: "The market’s next target is $110K. Expected pullbacks haven’t materialized."

2025 Price Predictions


FAQ: Crypto Market Surge Explained

Q: Why are Bitcoin and Ethereum prices rising?
A: Institutional ETF inflows, MicroStrategy’s market impact, and macroeconomic optimism (rate cuts, pro-crypto policies).

Q: What is the "Christmas Rally"?
A: A seasonal trend where crypto and stock markets often rise in December–January due to holiday-driven trading and sentiment.

Q: How high could Bitcoin go in 2025?
A: Analysts project $120K–$125K, assuming sustained institutional investment and regulatory support.

Q: Is Ethereum a good investment now?
A: With ETH 17% below its ATH and ETF speculation growing, many view it as undervalued.

Q: Should I worry about market corrections?
A: Volatility is normal. Diversify and focus on long-term adoption trends.

👉 Learn strategic crypto investment approaches here

Source: PANews (adapted for clarity and SEO optimization)


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