Bitcoin (BTC) dipped back to $90,000 as momentum waned after a strong start to the week. The flagship cryptocurrency crossed $92,000 on Monday but briefly slipped below $90,000 amid continued volatility. A revival to $91,000 was cut short by another decline, as the price fell nearly 2% to $90,049 before moving to its current level.
Meanwhile, the Federal Reserve’s final FOMC meeting of the year is set to begin later today, with markets hoping for a rate cut. According to Riya Sehgal, research analyst at Delta Exchange, markets could remain volatile this week as BTC continues to encounter resistance at $92,000 and $92,500.
Stable But Cautious
Bitcoin (BTC) is stabilizing around $90,000, but overall market sentiment remains cautious as traders prepare for the FOMC meeting, which begins later today. According to Matrixport, current options pricing reflects a 5% downside risk, with funds hedging against any potential pullback. The firm believes short-term bounces are being utilized as opportunities to lighten positions. Additionally, market liquidity generally tightens around Christmas, further pressuring the market.
Argentina Rethinking Ban Prohibiting Banks From Offering Crypto Services
Argentina’s central bank is reportedly rethinking a ban prohibiting banks from offering customers crypto services. If approved, the move could significantly boost crypto adoption in the South American nation. According to an unnamed crypto exchange operating in Argentina, the changes to the ban could be approved as early as April 2026. However, there has been no official communication regarding the developments. Experts believe allowing banks to access and offer cryptocurrency services to customers could boost adoption in the region. A Chainalysis report revealed Argentina registered over $93 billion in crypto transaction volume between July 2022 and June 2025.
Strategy Adds To Bitcoin Holdings
Michael Saylor’s Strategy has made one of its largest Bitcoin purchases in recent memory, acquiring 10,624 BTC for $962 million. The purchase comes despite the Bitcoin treasury’s recent stock struggles, and takes its total holdings to $660,624 BTC, worth around $49 billion. Strategy’s stock has plunged nearly 60% over the past few months, as it struggles to regain momentum amid a protracted market downturn. Analysts point out that the company’s stock faces strong resistance at key levels, preventing short-term rallies.
However, Saylor remains convinced about his “Bitcoin maxi” strategy, with the company refusing to entertain the idea of selling its Bitcoin to fund dividends. The Bitcoin treasury recently announced a $1.44 billion fund to cover dividend payments, and also introduced perpetual preferred shares, with Saylor calling them a game-changer for the company.
Despite Saylor’s conviction and optimism, Strategy faces significant challenges aside from Bitcoin’s recent price action. Banks like JPMorgan and Morgan Stanley are lining up Bitcoin investment products, giving investors controlled exposure to the asset and challenging Strategy’s position as the go-to entity for Bitcoin exposure. The firm has also been the target of short-sellers, while competing treasury firms like Metaplanet are acquiring BTC at a frenetic pace.
Spot Bitcoin ETFs Register Outflows
Spot Bitcoin ETFs registered net outflows of $60.48 million on December 8, with only BlackRock’s IBIT recording inflows. IBIT registered $28.76 million in net inflows, bringing its historical net inflows to $62.55 billion. Meanwhile, Grayscale’s GBTC led the outflows with $44.02 million, taking its cumulative outflows to over $25 billion.
Bitcoin (BTC) Price Analysis
Bitcoin (BTC) ended the weekend in positive territory despite volatility and selling pressure, rising over 1% to reclaim $90,000 and settle at $90,402. The price continued pushing higher on Monday, reaching an intraday high of $91,779 before settling at $90,402. However, selling pressure has returned during the ongoing session, with BTC marginally down nearly 1% at $90,117.
While BTC steadies itself around $90,000, global research and brokerage firm Bernstein believes the traditional 4-year cycle has ended, setting a price target of $150,000 in what it calls an “elongated bull market.” Bernstein stated that after the recent market correction,
“In view of recent market correction, we believe, the Bitcoin cycle has broken the 4-year pattern (cycle peaking every 4 years) and is now in an elongated bull-cycle with more sticky institutional buying offsetting any retail panic selling.”
Bernstein highlighted that despite a 30% correction since early October, it observed only 5% outflows coming through ETFs, indicating institutional conviction. The brokerage firm believes BTC will resume its bull run in 2026, setting a price target of $150,000 and a potential peak of $200,000 in 2027.
Some analysts believe a liquidity boost following the FOMC meeting could act as a powerful catalyst for Bitcoin and the broader crypto market, potentially driving it past key resistance levels. A cryptonews analysis revealed that the Fed could deliver a “dovish surprise” for the market.
“We’re moving into a continued rate-cutting cycle accompanied by balance sheet expansion as the Fed effectively turns on the money printers to monetize the deficit. That’s a powerful, structural tide to be swimming against in the new year.”
According to BTC’s weekly chart, the flagship cryptocurrency is steadily holding above the crucial $78,000 level. A break below this level could see the flagship cryptocurrency slip into a bear market. Price action has stabilized despite a substantial decline. However, the 50-day SMA is pointing upwards, indicating that the long-term trend remains intact.
BTC started the previous week with a sharp drop to $83,800, before settling at $86,282. Despite the overwhelming selling pressure, it recovered on Tuesday, rising nearly 6% to reclaim $90,000 and settle at $91,308. Buyers retained control on Wednesday as the price rose 2.35% to $93,453. However, price action turned bearish on Thursday with BTC falling 1.46% to $92,093. Selling pressure intensified on Friday as the price fell 2.98%, slipping below $90,000 to $89,345.
Source: TradingView
BTC registered a marginal decline on Saturday but recovered on Sunday, rising 1.27% to reclaim $90,000 and settle at $90,402. The price reached an intraday high of $92,291 on Monday but lost momentum as selling pressure returned. As a result, it settled at $90,653, after a marginal increase. BTC is down 0.50% during the ongoing session, trading around $90,230.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
