10x Research: The cryptocurrency trading environment remains complex and volatile, with Bitcoin in a consolidation phase

10x Research stated in its latest report that the cryptocurrency trading environment remained complex and volatile during the Federal Open Market Committee (FOMC) meeting in December 2024 and the subsequent holiday season.

However, there are still profit opportunities in specific areas. Bitcoin was in a consolidation phase during this period, showing no sustained upward trend but fluctuating within a tactical trading range, providing opportunities for strategic positioning rather than simply bullish trends.

Although some initial enthusiasm is expected at the beginning of the new year, it's not time to replicate the bullish sentiment from late January to March or late September to mid-December 2024. Positive performance is expected at the beginning of the year, followed by a slight pullback before consumer price index (CPI) data is released on January 15th. If inflation data performs well, it may reignite optimism and drive market growth before Trump's inauguration ceremony on January 20th.

However, this momentum may weaken slightly with potential market declines ahead of FOMC meeting on January 29th. From January to mid-November 2024, Bitcoin's dominance soared from 50% to 60%, posing significant resistance for altcoins' performance. Although dominance briefly plummeted to around 53% within three weeks sparking hopes for an altcoin season; it quickly rebounded close to about 58%, then consolidated around approximately55%.

This consolidation highlights Bitcoin’s enduring dominant position as a major driver of cryptocurrency markets while also indicating potential challenges faced by altcoins - unless Bitcoin’s dominance indicator falls again.