The optimistic mood around Bitcoin appears to be changing following the industry leader’s recent recovery.
Bitcointhe leading cryptocurrency by market capitalization, has performed poorly over the past week Market uncertainty The trigger was statements from the Federal Reserve. But as Christmas festivities get into full swing, the asset is showing flashes of strength, raising optimism about a rise to new highs at potentially psychologically important levels.
Bitcoin traders are optimistic
On Christmas Day, December 25, 2024, Bitcoin rose to highs just above $99,900, capping a 7% recovery from Christmas Eve lows around $93,500.
After the strong performance, traders are again clearly optimistic about the short-term price of the asset Santiment feed Data.
On Thursday, December 26th, the leading crypto analysis firm published shared data This shows that predictions that Bitcoin is on track to reach the $110,000 price flooded social media platforms again, with social dominance rising from 0 to a high of 0.056, according to the analytics firm’s scale.
Is this psychologically important level finally within reach?
A potential contrarian indicator
Despite the optimism Santiment feed warns that historically, the rally typically occurs when the crowd is not expecting it. Of course, the chart shared by Santiment Feed on Thursday shows that Bitcoin price corrections followed previous spikes at those $110,000 calls.
Notably, calls for Bitcoin to reach $110,000 skyrocketed on December 15 when the asset hit $106,000.
