Daily Market Update: Bitcoin Eyes Longest Rally in Three Months as Stock Futures Push Higher

TLDR

• Bitcoin climbed more than 1% in Monday’s Asian session, positioning for its longest five-day rally since early October
• The cryptocurrency moved from approximately $91,480 to $92,500, briefly touching $93,000 during trading
• Analysts point to the end of tax-loss selling and renewed trading desk activity as key factors driving the recovery
• Bitcoin ETFs attracted $471 million in Friday trading, marking the strongest single-day performance since mid-November
• Stock futures advanced Monday as markets digested weekend developments in Venezuela involving President Maduro’s arrest

Bitcoin gained more than 1% during Monday’s Asian trading hours. The cryptocurrency is now on track for its longest consecutive winning streak in three months.

Prices moved from approximately $91,480 to $92,500 during the session. Bitcoin briefly exceeded $93,000 before settling back.

Other major cryptocurrencies followed Bitcoin’s lead. XRP, Solana, and Ether each posted gains ranging from 0.7% to 1%.

The analyst said his firm turned positive after late-December options expired. Trading desks can now deploy capital more freely in the new year.

Tax-loss selling created downward pressure on crypto prices throughout December. Investors sold underperforming assets to offset taxable gains from profitable trades earlier in the year.

ETF Activity and Price Performance

Bitcoin finished 2024 down 6% for the year. The cryptocurrency lagged behind Nasdaq, gold, and precious metals in annual performance.

December proved particularly difficult for Bitcoin prices. North American trading sessions showed the weakest price action during the year’s final weeks.

Bitcoin spot ETFs collected $471 million in net inflows on Friday. This represents the largest single-day total since November 11, based on SoSoValue data.

Thielen said early 2025 ETF flows have been positive. The analyst maintains a bullish outlook as long as Bitcoin trades above its 21-day moving average.

Stock Market Response to Venezuela Events

Bitcoin’s Monday rally occurred alongside geopolitical developments. US military operations in Venezuela resulted in the capture of President Nicolás Maduro over the weekend.

Gold and silver prices also rallied sharply. Investors are pricing in elevated geopolitical risk that could continue or worsen.

US stock futures opened higher Monday morning. Dow Jones Industrial Average futures gained 0.1%, while S&P 500 futures rose 0.2%.

Nasdaq 100 futures increased approximately 0.5%. Investors weighed the implications of the Venezuela situation entering the first complete trading week of 2025.

Oil prices remained relatively stable around $60 per barrel. Market analysts believe this limits immediate inflation concerns despite geopolitical uncertainty.

Venezuela produces under 1 million barrels of oil daily. This represents less than 1% of global output, reducing potential economic impact.

Bitcoin ETFs recorded their strongest daily inflows since mid-November on Friday, collecting $471 million as the cryptocurrency prepared for its longest winning streak in three months.

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