Bitfinex: Bitcoin Consolidates Around $100K, Crypto Market Shows Signs Of Stabilization
In Brief
Bitfinex’s latest market analysis notes that after Bitcoin surpassed $100,000 and corrected by 14.84%, signs of market stabilization are emerging despite the volatility.
Bitfinex published its latest market analysis, noting that Bitcoin reached a historic milestone last week, surpassing $100,000 for the first time and reaching a new all-time high (ATH) of $104,000. This represented a 111% increase from its summer lows, which were below $50,000. However, the rally was followed by a sharp correction of 14.84%, including a 10% drop within just eight minutes—the largest pullback from the current ATH since the pre-election sell-off. This correction triggered more than $1.1 billion in liquidations, with $419 million of that coming from Bitcoin long positions, highlighting the high levels of leverage in the market.
Despite the volatility, signs of market stabilization are emerging. The Realized Profit metric, which had peaked at $10.5 billion per day, has since dropped to $2.5 billion, reducing sell-side pressure. Futures funding rates have also returned to normal, indicating a reduction in speculative leverage. While exchange-traded funds (ETF) inflows slowed slightly toward the end of the week, they continue to provide crucial support amid ongoing profit-taking by long-term holders.
As Bitcoin consolidates above $100,000, the mid-term outlook remains positive, and with stabilizing funding rates and diminished sell-side pressure, further upward momentum is expected, assuming ETF inflows continue.
US Economy Shows Resilience Despite Mixed Economic Data, Job Creation Rebounds And Service Sector Grows
The latest US economic data presented a mixed picture last week, but overall, it indicated that the economy remains resilient. November saw a strong rebound in job creation, with 227,000 jobs added, surpassing expectations despite disruptions from October’s hurricanes. However, a slight increase in unemployment to 4.2% points to ongoing workforce adjustments. October job openings surged to 7.74 million, reflecting sustained demand for labor, although hiring slowed, which may suggest employer caution in the face of economic uncertainties.
Meanwhile, the service sector experienced its 51st consecutive month of growth in November, although at a slower pace, with the PMI at 52.1, driven by strong consumer spending and wage growth. Inflationary pressures persist, but easing supply chain bottlenecks and optimistic year-end projections suggest a stable outlook.
Bitfinex highlights that as the Federal Reserve assesses potential policy shifts under the new incoming administration, the economy remains supported by a resilient labor market and consistent consumer demand. However, uneven recovery across sectors calls for cautious optimism moving forward.
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About The Author
Alisa, a dedicated journalist at the MPost, specializes in crypto, AI, investments, and the expansive realm of Web3. With a keen eye for emerging trends and technologies, she delivers comprehensive coverage to inform and engage readers in the ever-evolving landscape of digital finance.
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Alisa, a dedicated journalist at the MPost, specializes in crypto, AI, investments, and the expansive realm of Web3. With a keen eye for emerging trends and technologies, she delivers comprehensive coverage to inform and engage readers in the ever-evolving landscape of digital finance.
