Bitcoin: After 39% November surge, will BTC hit $140K in December?

• Bitcoin has surged by 39.72% over the past month.
• An analyst predicted a December rally to up to $140k, citing historical performances.

After the U.S. presidential elections, Bitcoin [BTC] saw an exponential surge, hiking from a low of $66K to a new all-time high of $99,800.

However, since hitting this high, it has experienced a market correction, going back down to $90,742. This increased market volatility has left crypto analysts conflicted, with some optimistic over a surge past $100k while others saw a potential decline.

One of these optimistic analysts is the popular crypto analyst Ali Martinez

Bitcoin’s historical performance

In his analysis, Martinez posited that Bitcoin has historically surged in December after the U.S. presidential elections.

Source: X

According to him, BTC made significant gains in the last two cycles. As such, in 2020, BTC surged from a low of $17,570 to a high of $29,300, marking a 66.84% increase.

In 2016, BTC increased from $740 to a high of $981. This was a 32.56% increase.

This historical pattern shows Bitcoin experiencing price pumps in December following the U.S. presidential elections.

As such, if history is anything to go by, we could see BTC make considerable gains throughout the month. In this regard, Martinez predicted that the king coin could hit between $125,000 to $140, 000.

What the charts say

Although Bitcoin has retraced since hitting its current ATH, the king coin remained in a bullish phase. As such, the prevailing conditions just point towards potential gains on price charts.

Source: Cryptoquant

For example, the Bitcoin NVT Golden Cross has surged from -0.13 to 1.1 at press time. When NVT golden cross rises, it suggests long-term confidence in the asset’s growth trajectory.

As such, investors are valuing the network beyond current on-chain activity and see growth potential regardless of the transaction volume.

Source: Santiment

Additionally, this long-term confidence is further evidenced by the rising MVRV long/short difference.

A surge in this indicator suggests that long position holders are increasingly confident, even though they are currently in profit.

Source: Santiment

Finally, Bitcoin’s stock-to-flow ratio has surged from a low of 105 to 494 as of this writing. A surge in SFR shows that BTC is currently scarce and low in supply.

Read Bitcoin’s [BTC] Price Prediction 2024–2025

Usually, scarcity is the true measure of Bitcoin’s value and when it’s scarce and demand rises, prices rise.

In conclusion, Bitcoin is well-positioned for more gains. The recent market retrace appear to be mere corrections before another uptrend begins.