Bitcoin "changes face" at the end of the year: Price plunges to key levels, market cautious sentiment heats up.

As the record-breaking year is drawing to a close, Bitcoin is showing signs of fatigue. In the early Asian trading session on Tuesday, the trading price of Bitcoin was around $94,500, approximately $14,000 lower than the historical peak on December 17th. The cryptocurrency has fallen below the 50-day moving average, leading some to view it as a reason for caution. Fairlead Strategies LLC technical analyst Katie Stockton wrote in a report that the pullback to the moving average indicates that the token is "returning to a neutral bias" in a consolidation phase. The drop in Bitcoin reflects expectations of a slowdown in interest rate cuts by the Federal Reserve in 2025, which has dampened speculation sparked by President-elect Donald Trump's push to ease cryptocurrency regulation. The Republican also supports a proposal to establish a national Bitcoin reserve. Following the drop in Bitcoin, testing the 50-day moving average In the latest developments in the United States, Senator Bernie Moreno, who supports cryptocurrency, has been nominated as a member of the Senate Banking Committee. With cryptocurrency supporters in the new Trump administration in the majority, the digital asset industry is expected to prosper. Meanwhile, Bitcoin "whale" MicroStrategy (MSTR.US) announced on Monday that it had purchased 5,262 Bitcoins for the seventh consecutive week. The average purchase price last week was around $106,613, slightly below the historical high of Bitcoin at around $108,500. Trump was once skeptical of digital assets, but with the cryptocurrency industry investing heavily to support him during the US election, his attitude has changed. Since Trump won the US election on November 5th, Bitcoin has risen by about 40%. Since Trump's victory, US exchange-traded funds (ETFs) directly investing in Bitcoin have attracted over $12 billion in net inflows, but the pace of subscriptions has slowed recently. It is worth noting that during the rapid decline of Bitcoin, the 12 US physical Bitcoin ETFs saw a record net outflow of $680 million on December 19th, ending a 15-day period of inflows. So far this year, Bitcoin has risen by 125%, surpassing the return rates of traditional investments like global stocks and gold. More widely-used cryptocurrency market indicators, including Ethereum and Dogecoin, have also doubled in value.