the Bitcoin price Recovered from lower year-end tax harvests. BTC is trading at around $97,000 after rising more than 3.4% over the past 24 hours before press time. Keep in mind that Bitcoin has not been able to recover the $100,000 level since it fell below six figures on December 19.

said Isaac Joshua – CEO of token launch platform Gems Decryption He explained that there is no doubt that the contraction “can be largely attributed to year-end tax loss harvesting by investors.”

“Many have liquidated both Bitcoin ETFs and the underlying assets themselves to improve their tax reporting, a common phenomenon in financial markets during this period,” Joshua highlighted.

“BlackRock’s Bitcoin ETF is poised to accelerate Bitcoin adoption by simplifying access for institutional investors, enhancing its legitimacy and facilitating mainstream acceptance,” Ryan Lee — a senior analyst at cryptocurrency exchange Bitgate’s research firm — explained in a recent note.

Lee's comments come on the heels of BlackRock's iShares Bitcoin Trust (IBIT). Exceeds $50 billion in assets under management. This milestone was achieved in just 228 days, five times faster than any other ETF in history.

Joshua expects multiple factors to lead to a rebound in Bitcoin price this month. He expects “liquidity seeking to return to the market after the new fiscal year” and expects Bitcoin to benefit “from increased demand.”

Furthermore, he predicts that “the recent inauguration of President Trump will likely bring renewed optimism and pro-business policies, which have historically been favorable to riskier assets like Bitcoin.” Joshua believes “Bitcoin could rise to a level of up to $120,000 in the coming weeks.”

On the other hand, Lee wrote, “Bitcoin is expected to trade between $83,000 and $120,000 in January 2025, with peaks near $120,000 likely after a potential correction.” He also noted that long-term forecasts point to sustainable growth, with some forecasts placing Bitcoin's value at $200,000 by 2025. However, actual price movement will depend on “regulatory developments, market dynamics, and broader economic conditions.”

Modified by Stacey Elliott.