Coin360 Weekly Dispatch | Crypto Market Updates & Highlights | November 30 - December 6, 2024

Crypto Weekly Market Update

Table of Contents

Market Movements and Trends

• Crypto Weekly Recap

Bitcoin Market Updates

• Bitcoin Hits $103K With $2T Market Cap

Political and Regulatory Shifts

• Trump Appoints Pro-Crypto Advocates for Key Roles
• Global Crypto Policies Show Diverging Approaches

Corporate Bitcoin Investments

• MicroStrategy Grows Bitcoin Holdings to 402,100 BTC

Financial Media and Public Perception

• FT Alphaville’s Controversial Bitcoin Cope-Pology

Cryptocurrency ETFs and Regulatory News

• SEC May Reject Solana ETF Amid Increasing Filings

Binance Ecosystem Updates

• BNB Hits $793 Amid DeFi and Meme Token Growth

NFT and Token Developments

• Pudgy Penguins Launches Token on Solana
• Nike’s RTFKT to End Web3 Operations
• Adidas Launches Physical Shoes With Stepn

Crypto Weekly Recap

Bitcoin:

• Weekly performance: +1.01%
• US Spot Bitcoin ETFs weekly netflow: +$2.35B
• Bitcoin hit a new ATH, surpassing $100,000 for the first time.
• Early in the week, Bitcoin traded between $96,000–$98,000 but surged past $100,000 to an ATH of ~$104,000 on Thursday, despite Mt. Gox's $2.8 billion transfer.
• Total crypto market cap grew by nearly $300 billion, peaking at ~$3.8 trillion.
• BTC dropped to ~$90,000 after overleveraged longs caused a $1.1 billion liquidation—the highest since December 2021.
• BlackRock and MARA Holdings purchased 9,173 BTC as prices fell. US Bitcoin ETFs surpassed 1.1M BTC, overtaking Satoshi Nakamoto's holdings.
• Bitcoin traded above $99,000 following the correction.
• President-elect Donald Trump appointed Paul Atkins, known for his balanced stance on crypto, as the new SEC Chairman.
• Jerome Powell compared Bitcoin to gold and dismissed US Dollar stability concerns, fueling Bitcoin's surge.
• MicroStrategy acquired 15,400 BTC for $1.5 billion, raising its holdings to 402,100 BTC. Other institutions also announced BTC accumulation.
• BlackRock's spot Bitcoin ETF, IBIT, reached $50 billion in AUM, setting a record.
• Long-term Bitcoin holders took profits as BTC pulled back from above $103,000.
• The November jobs report showed 227,000 nonfarm jobs added, beating expectations, with unemployment at 4.2%. FedWatch indicated a 90.5% chance of a rate cut to 425–450 basis points on December 18.

Ethereum:

• Weekly performance: +12.51%
• US Spot Ether ETFs weekly netflow: +$752.93M
• Ether (ETH) recovered against Bitcoin (BTC) as the ETH/BTC ratio increased, with prices rising from $3,533 to $4,013.
• Earlier this week, ETH lagged behind altcoins like XRP, ALGO, and XVG, which surged, and TRX, BNB, and SUI, which hit new ATHs. By Friday, ETH reached $4,000 for the first time since March but stayed below its ATH, showing progress and signs of decoupling from BTC.
• Bernstein analysts predicted Ethereum ETF staking yields could gain approval under a crypto-friendly Trump administration, driven by staking yields, ETF inflows, favorable demand-supply dynamics, and rising blockchain activity.
• Ethereum attracted institutional interest due to its stable supply, proof-of-stake transition, and burn mechanism. About 28% of ETH was locked in staking contracts yielding 3%, 10% was used in lending or deposits, and 60% remained untraded over the past year, reflecting investor commitment.
• Ethereum's Realized Cap hit $243.45 billion, signaling market confidence and aligning with historical price surges. The MVRV Long/Short Difference rose to 5.67%, favoring long-term holders and suggesting undervaluation. Continued buying could push ETH to $4,200–$4,500, while a drop in Realized Cap might lower prices to $3,500.
• Altcoin funding rates reached a nine-month high, raising doubts about price rally sustainability. Performance correlations between Bitcoin and altcoins declined, suggesting potential altcoin outperformance.
• Tether recently minted another $1 billion USDT, and total supply has surpassed $135.8 billion but both USDT and BTC dominance are down, suggesting potential upside for altcoins.

Altcoins:

• DMM Bitcoin to shut down following a $300 million hack fallout.
• Ripple's market cap hit a record high, surpassing Tether and Solana.
• Base Chain founder Jesse Pollak confirmed there were no plans for a token.
• BitGo entered the retail market with a new trading platform.
• Sonic Labs approached mainnet launch after completing an airdrop snapshot.
• Yuga Labs acquired the tech team of Web3 tokenization firm Tokenproof.
• Franklin Templeton tokenized funds were verified through the Jiritsu system.
• Tezos launched the world’s first uranium marketplace on blockchain.
• Coinbase integrated Apple Pay for streamlined transactions.
• XRP Ledger reduced its reserve requirement from 10 to 1 XRP, benefiting small wallets.
• Pantera Capital invested $20 million in TON token fundraising.
• Former Celsius CEO Alex Mashinsky pleaded guilty to fraud.
• Backed, Sonic, and Chainlink tokenized Fortlake’s Sigma Opportunities Fund.
• Hyperliquid token exceeded $12 billion FDV in under a week.
• Magic Eden integrated with Sei Network and launched NFT tools.
• Base hit a new all-time high with 8.8 million daily transactions.
• Circle-backed Layer 1 Xion launched its mainnet and gamified airdrop mechanism.
• A Kraken survey showed FOMO and FUD still drove most crypto investments.
• Hawk Tuah's team stated they hadn’t sold as her memecoin tumbled post-launch.
• Phantom Wallet integrated the Sui blockchain for improved performance.
• Meteora launched the M3M3 platform with a stake-to-earn model.
• Sky faced scrutiny over a potential $756 million exploit flaw.
• Prominent listings:
  • Binance: ACX, ORCA
  • Coinbase: MOODENG, GIGA, TURBO, MOG
  • Binance Futures: KAIA, AERO
  • Magic Eden (ME) pre-market: Gate.io, OKX, KuCoin
  • Xion (XION): Gate.io, Bybit, KuCoin

Bitcoin Hits $103K With $2T Market Cap

Bitcoin has shattered the $100,000 barrier, peaking at $103,700, and achieving a market capitalization exceeding $2 trillion, ranking as the 7th largest global asset. This growth reflects a staggering 3.33 billion-fold increase since 2010. El Salvador’s Bitcoin holdings have surged to over $600 million, marking a 123.67% profit. Additionally, BlackRock’s Bitcoin ETF has surpassed $50 billion in assets, showcasing rising institutional interest. Despite movements of 27,871 BTC from dormant Mt. Gox wallets, the market remained stable. High-profile endorsements from leaders like Jerome Powell and Vladimir Putin further bolster Bitcoin's position as “digital gold” in global finance.

Trump Appoints Pro-Crypto Advocates for Key Roles

Trump nominated pro-crypto advocate Paul Atkins as SEC Chair, signaling a regulatory shift from Gary Gensler’s crypto-skeptic policies. His platform includes freeing Ross Ulbricht, promoting domestic Bitcoin mining, opposing CBDCs, and endorsing Perianne Boring for CFTC Chair, aligning federal oversight with industry growth. Bitcoin surged to $103,679, reflecting optimism in response to these policies. Trump also appointed Solana advocate David Sacks as Crypto Czar, blending blockchain and AI innovation. Sacks emphasized Solana’s potential to rival Ethereum, solidifying his role as a key figure in shaping U.S. cryptocurrency and blockchain strategies under the administration.

Global Crypto Policies Show Diverging Approaches

In December 2024, MicroStrategy increased its Bitcoin holdings to 402,100 BTC, worth around $39 billion, following a $1.5 billion acquisition. The company's stock surged to $389 per share from under $15 since August 2020. Brazil proposed a national Bitcoin reserve, aiming to allocate 5% of its national reserves, while also targeting stablecoin regulations. Metaplanet launched a Bitcoin shareholder program to promote adoption in Japan, and Sora Ventures initiated a $150 million fund to replicate MicroStrategy's model across Asia. MARA Holdings announced a $700 million note issuance to expand its Bitcoin holdings, emphasizing corporate investments in cryptocurrency.

MicroStrategy Grows Bitcoin Holdings to 402,100 BTC

Recent global crypto policy developments include the Czech Republic's elimination of capital gains tax on Bitcoin held over three years, aiming to foster investment, effective January 1, 2025. South Korea experienced a 30% Bitcoin drop amid martial law declarations. France proposed taxing unrealized crypto gains at 30%, facing criticism for potential market disruption. Coinbase exited Turkey's crypto market due to regulatory challenges, while Cambodia banned 16 exchanges, including Binance and Coinbase, over unlicensed operations. These developments highlight diverse regulatory approaches, reflecting ongoing tensions between innovation and compliance in the evolving cryptocurrency landscape.

FT Alphaville’s Controversial Bitcoin Cope-Pology

The Financial Times’ FT Alphaville issued a controversial “Cope-Pology” as Bitcoin surpassed $100,000 on December 5, 2024. City editor Bryce Elder acknowledged the cryptocurrency's milestone but maintained the publication's critical stance, mocking Bitcoin investors for misinterpreting its skepticism. The op-ed reinforced FT’s long-standing negative view, calling Bitcoin an “arbitrary hype gauge” and labeling it a “negative-sum game.” Critics described the piece as arrogant, highlighting a lack of humility despite Bitcoin's rise, which contradicted past opinions from prominent figures like Warren Buffett and Jamie Dimon. FT Alphaville's critiques have persisted for over a decade, unchanged by Bitcoin's success.

SEC May Reject Solana ETF Amid Increasing Filings

The SEC is poised to reject applications for Solana spot ETFs from at least two of five issuers, citing a firm stance against new crypto ETFs under the Biden administration. Concurrently, Grayscale is pushing to convert its $120 million Solana Trust into a spot ETF. Despite regulatory hurdles, enthusiasm is building, with Solana's market cap rising 45% in 30 days, reaching $112 billion. Predictions for ETF approval by mid-2025 are at 56%. Institutional interest is surging, evidenced by increased whale activity and bullish sentiment in trading, suggesting potential for an "altcoin season" as Solana gains traction alongside Bitcoin and Ethereum.

BNB Hits $793 Amid DeFi and Meme Token Growth

BNB, Binance's native cryptocurrency, recently hit an all-time high of $793, later settling at $735, marking a nearly 200% gain year-to-date. Derivatives trading surged, with volumes up 301% to $6.4 billion, while $5.4 million in liquidations indicated strong speculative interest. Amid the hype, PancakeSwap launched SpringBoard, simplifying meme token creation without coding, significantly boosting liquidity. Launched tokens, like Cava, saw extraordinary growth, exemplifying the platform's potential. PancakeSwap’s liquidity reached $2.1 billion, enhancing its competition with Raydium, as it solidifies Binance Smart Chain's influence in decentralized finance and meme token markets.