Coin360 Daily Dispatch | Crypto Market Updates & Highlights | December 10, 2023

SEC Advances Talks on Bitcoin ETF with Fidelity, CboeBZX

The SEC met with Fidelity and CboeBZX to discuss the spot Bitcoin ETF application, signaling advanced regulatory talks. Fidelity's ETF model uses industry players to manage exposure to Bitcoin. Talks with other ETF applicants are also progressing. Analysts estimate a 90% chance of spot Bitcoin ETF approval by January 2024.  

Bitcoin's Supercycle: $150K Forecast Amid Pullback

A potential super cycle for Bitcoin is anticipated, with experts forecasting a price of $150,000 by 2025. Factors driving the surge include hopes of central bank interest rate reductions, possible spot Bitcoin ETF introductions, and institutional crypto adoption. 

However, before this target, analysts project a potential Bitcoin pullback to $40,000 to fill a CME gap while emphasizing bullish long-term outlook due to potential institutional inflows. 21.co CEO asserts underappreciated future institutional Bitcoin investments, citing growing interest and regulatory changes driving significant recent inflows into digital asset funds.

Bitcoin's TVL Hits Record Amid NFT Market Entry

Bitcoin achieves record Total Value Locked (TVL) of $315 million, despite not being a DeFi platform. Its price near $43,000 influences TVL. Surprisingly, Bitcoin's NFT volume hits $10 million, solidifying its presence in the NFT market. Bitcoin's TVL surge showcases its adaptability and innovation, while the NFT volume demonstrates its resilience and capacity for expansion.  

Binance Report Suggests Emerging Crypto Bull Market

The Binance report indicates a potential bull market in crypto. The crypto market grew by 110% in 2023, with $596 billion added in Q4. Stablecoin supply rebounded, NFT volumes surged, fees increased, and DeFi dominance rose. This suggests a positive shift in the industry, potentially emerging from a bearish period.  

Ethereum Price Peaks, Yet New User Growth Stalls

Ethereum's price surged to a 19-month high amidst anticipation of a spot ETH ETF, yet new user interest did not increase. Despite a market cap rise, IntoTheBlock data shows no influx of new users. This is unexpected given retail investors' tendency to follow hype. Approval of a spot Ethereum ETF could prompt a surge in user activity and ETH's price. 

Solana's SOL and BONK Coin Reach New Highs

Solana's SOL surged 13% to $73.85, reaching a 19-month high, while BONK, a leading Solana meme coin, soared 24% to an ATH of $0.00001468, and now boasts a market cap of $667 million. NFT trading volume on Solana surpassed Ethereum, totaling $14.8 million, with projects like Tensorians dominating the market with over $4 million in sales.  

Cardano's DeFi Ecosystem Boasts $302M TVL

Cardano's DeFi ecosystem surpassed $302 million in total value locked (TVL), attributed partially to ADA's price surge. Key projects like COPI and IAGON have shown significant value increases. Crypto analyst Paul also highlighted upcoming DeFi initiatives like DexHunter, Cherrylend, and IUSD on Cardano's network, while discussing the potential impact of Bitcoin ETF approval.  

Coinbase: Bitcoin Rallies Amid US Rate Expectations

Coinbase's analysis highlights Bitcoin's rally triggered by moderating US rate expectations, contrasting with static equities. Spot bitcoin ETFs show readiness amidst SEC scrutiny. Institutional interest grows as CME futures basis rises. Long-term holders (86%) hold Bitcoin, not taking profits despite price hike, contrasting with previous cycles. 

Tether Freezes Wallets, Aligns with US Cybercrime Policies

Tether has frozen 41 wallets linked to sanctions, including those involved in the Ronin Bridge attack and using Tornado Cash. This aligns with U.S. regulations against cybercrime, marking a significant policy shift under CEO Paolo Ardoino, and sets a new standard in cryptocurrency compliance and security.

Global Efforts Intensify Against North Korean Crypto Hackers

The US, South Korea, and Japan unite to combat North Korea's Lazarus Group crypto hackers. They target cybercrime, cryptocurrency laundering, and weapons programs. North Korean hackers stole over $600 million in crypto last year. Amid tensions, concerns about a potential North Korean-Russian arms alliance arise. Efforts focus on enforcing UN resolutions for denuclearization and arms trade bans.   

KyberSwap Exploiter's Multimillion HXA Transaction Investigated

The address associated with the KyberSwap exploiter made a $50 million HXA token transaction dispersed to top holders. Cyvers flagged a vulnerability possibly linked to the Multicall function. Gate.io and MEXC suspended HXA token deposits and withdrawals. The HXA coin website is currently inaccessible, and further investigation into the exploit is ongoing.  

Compound DAO's Vote Falls Short for Bug Bounty Reward

Compound DAO failed to reach the 400,000 vote quorum to reward developer 'KP' $125,000 for fixing a major protocol vulnerability. Over 70% of votes were in favor, but it fell short by 15,000 votes. Despite support from key figures, the bug bounty program's discretion and the involvement of VC firms impacted the outcome. KP resubmitted the proposal, lowering the reward to $100,000.  

Worldcoin Eyes $50M Funding Through Token Sale

Worldcoin's development group, Tools For Humanity, is reportedly seeking $50 million in funding through a discounted token sale. The WLD tokens may be sold at $1, down from the current spot price of $2.51, with FT Partners aiding in the fundraising. No finalized terms have been confirmed, and Worldcoin is known for its identity-centric approach in the crypto space.  

Top Altcoin Gainers and Losers

Gainers:

Immutable X IMX (+23.41%)

MultiversX EGLD (+17.42%)

Beam BEAMX (+12.01%)

Losers:

Bonk BONK (-11.29%)

Terra Classic LUNC (-9.41%)

Terra LUNA (-8.45%)