On November 4, Bitcoin (BTC) was changing hands at approximately $68,800—after a rally, it reached a new all-time high (ATH) of $108,135. Altcoins followed suit—many well-known coins and tokens saw stellar gains.
However, by mid-December, BTC encountered a hurdle. Prices fell to $92,000, a critical support level, and have since been attempting to decisively break through the $100,000 mark again.
At the time of this article's publication, Bitcoin was trading at $94,882. Many speculated that the first correction of Bitcoin would lead to an altcoin season—a period when smaller cryptocurrencies outperform the leading digital asset.
It turns out that this sluggishness is not limited to BTC—altcoins have also experienced a decline in bullish momentum.
This can partly be attributed to a basic desire for profit; however, the decision by the U.S. Federal Reserve (Fed) to reduce the number of rate cuts in 2025 is also a factor, as it has worsened the risk-reward ratio for speculative assets like cryptocurrencies.