Bitcoin’s rally fizzles out as the token’s record year comes to an end

(Bloomberg) — A Bitcoin rally is fizzling out in the final days of a record-breaking year for the digital asset as investors assess remaining momentum from President-elect Donald Trump’s embrace of the cryptocurrency sector.

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The largest token was changing hands at $95,600 at 8:45 a.m. in Singapore on Friday, down nearly 3% from the previous day. Smaller competitors like Ether and Dogecoin, a favorite of the meme crowd, struggled to gain traction.

Sticking to his promise to create a crypto-friendly environment in the US, Trump has supported the idea of ​​establishing a national Bitcoin reserve. Traders are waiting to see whether such a stockpile is feasible.

The crypto market is also prepared for the expiration of a significant amount of Bitcoin and Ether options contracts on Friday – one of the largest such events in digital asset history, according to prime broker FalconX.

Sean McNulty, trading director at liquidity provider Arbelos Markets, flagged the risk of a “troubled market” amid the expiry of derivatives positions.

Bitcoin is reeling even after MicroStrategy Inc. signaled this week the possibility of expanding its program to purchase the token. The company has evolved from a software maker to a Bitcoin accumulator and now owns more than $40 billion in digital assets.

According to data compiled by Bloomberg, the native cryptocurrency is expected to fall in December, which would be its first monthly decline in four months. Bitcoin hit a record high of $108,316 on December 17 before falling back.

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