What will happen to bitcoin in December?

Bitcoin (BTC) is ending the month of November on the rise, just as some analysts expected to happen. During the last 30 days, the price of the digital currency rose more than 35% and was less than $500 away from surpassing the $100,000 barrier.

As CriptoNoticias has reported, Donald Trump’s victory in the United States presidential elections It is one of the main reasons to explain this rise. The Republican leader expressed his support for cryptocurrencies throughout his campaign and promised clear and friendly regulation to encourage the growth of the sector in that territory.

Thus, the big question that hangs over the market is: What will happen to bitcoin in December?

For Juan Rodriguezcryptocurrency market analyst, There are several factors that can boost the price of BTC in the short term.

In principle, the specialist mentions the behavior of BTC in the months after the halvingthe event that reduces the issuance of the digital currency by half every 4 years. This phenomenon facilitates the rise in the price of the currency in response to demand. “The last 4 months of the year are very good. November has given us that perspective. Historically, December performs better. This time, it won’t be like that, but looking at the data from previous periods, we still have a long way to go,” he comments.

Likewise, Rodríguez indicates that more than 220 days passed after the last halving and, If compared to previous cycles, there is still an upward trend.

To expand his analysis, he shares a graph in which it is observed that, after breaking its all-time high (ATH), lThe BTC price had at least 4 green candles.

Rodríguez indicates that he was recently formed a single green candle and that is why it argues that the bullish cycle is not over yet.

Likewise, he explains that there are two specific events that can push the price of BTC above the $100,000 line.

The first of these is that more governments are following the steps of the United States and analyze the possibility of creating a strategic reserve of bitcoin.

As reported by CriptoNoticias, Brazilian legislator Eros Biondini presented a bill for the creation of a sovereign strategic reserve of BTC by the federal government, called RESBit. The proposal seeks to diversify the financial assets of the National Treasury, protect international reserves against exchange rate fluctuations and geopolitical risks.

At the moment, There are 9 countries that have the digital asset in their treasuries. «There are several countries that could overtake the United States. I think there will be news in the second quarter of 2025 with the United States Reserve,” says Rodríguez.

The second factor that could boost the price of bitcoin in December is that more and more companies are buying the digital asset. “Michael Saylor showed companies how to get private capital at zero rate and many companies are taking advantage of it,” comments the Colombian analyst.

MicroStrategy (MSTR) strategy consists of consists in issuing debt bonds with an interest rate of 0% and long-term maturities. The funds raised are used to finance BTC purchases.

With these funds, the technology company implements the investment strategy known as DCA (dollar cost average). The method consists of periodic purchases of an asset, in this case BTC, with bullish possibility to average the cost of acquisitions made over time, instead of trying to identify the bottom of the market to enter.

In this regard, Rodríguez considers that “it is something that is increasing” and highlights: “21 public companies have more than 1,000 BTC in their treasuries. 15 days ago, there were 14. If more companies implement this strategy, that will favor the price of BTC.”

Below is the list of publicly traded companies that have more than 1,000 BTC in their treasuries, according to explorer data Bitcointreasuries.

Bearish factors in December

In his analysis, Rodríguez also mentions that there may be two pieces of news that can influence the price of the currency created by Satoshi Nakamoto.

On December 10, Microsoft shareholders will decide whether the technology giant will allocate $78 billion to buy BTC and add it to its reserves.

According to Polymarketthe cryptocurrency betting platform, expectations are low and only 11% believe that the board of directors will vote in favor of the initiative.

This could be interpreted as an indication that companies with larger market capitalization do not see BTC as a reserve asset.

On the other hand, Rodríguez mentions that on December 18 the United States Federal Reserve will have the last meeting of 2024 to define whether or not to cut the interest rate again. Currently, the indicator is around 4.75% basis points.

As CriptoNoticias has explained, when the interest rate is high, Investors place their holdings in financial products considered safe, such as Treasury bonds.

On the other hand, if the interest rate is low, investors tend to move their holdings into stocks, BTC and cryptocurrencies. This is because the cost of borrowing also drops, allowing both investors and companies to access loans with more favorable conditions.

This gives them the possibility of allocating those funds to riskier assets, seeking to take advantage of higher returns.