Bitcoin's rally is growing weaker in the final days of a record-breaking year for the digital asset, as investors assess remaining momentum from President-elect Donald Trump's support for the cryptocurrency industry. As of press time, Bitcoin was trading at $95,914, down 0.12% from the previous day. Smaller coins including Ether and Dogecoin are also struggling to gain market attention.
Trump is pushing ahead with a pledge to create a cryptocurrency-friendly environment in the United States and backing the idea of a national Bitcoin reserve. Traders are waiting to see whether such reserves are feasible.
A large number of Bitcoin and Ethereum options contracts in the crypto market are set to expire on Friday, prime broker FalconX said, in one of the largest such events in the history of digital assets. Sean McNulty, head of trading at liquidity provider Arbelos Markets, noted that there could be "volatility" in the market as these derivatives positions expire.
Bitcoin performance remains wobbly despite MicroStrategy (MSTR.US) hinting this week that it may expand its plans to buy Bitcoin. The company has transformed from a software maker into a Bitcoin accumulator and now has more than $40 billion in digital assets.
According to data compiled, Bitcoin will post a decline in December, which would be its first monthly decline in four months. Bitcoin reached an all-time high of $108,316 on December 17 before falling back.