Coin360 Weekly Dispatch | Crypto Market Updates & Highlights | November 9 - November 15, 2024

Crypto Weekly Market Update

Table of Contents

Market Movements and Trends

• Crypto Weekly Recap

Meme Coins and Market Reactions

• Dogecoin Surges After Trump Launches DOGE Initiative
• Binance Criticized Over Solana Meme Coin Listings

Regulatory Developments

• XRP Hits Yearly High Amid Regulatory Speculations

Institutional Blockchain Adoption

• Franklin Templeton Expands Money Market Fund to Ethereum
• BlackRock Expands BUIDL Fund to Five Blockchains

Regulatory Probes and Legal Actions

• Polymarket CEO's Home Raided Amid Regulatory Probe

NFT Market Trends

• Doodles Teams Up With McDonald's for Holiday Campaign
• OpenSea Trading Surges Amid Token Launch Speculation
• 98% of 2024 NFT Collections Are Now "Dead"

Crypto Weekly Recap

Bitcoin:

• Weekly performance: +18.27%
• Weekly US Spot BTC ETFs: +$2.04B.
• Another crazy week: BTC tested $93K from a weekly low of $76K.
• Digital asset inflows hit $1.98B post-election, marking a fifth consecutive week of gains (CoinShares).
• BTC surged from $80K to $89K on Monday, starting its rally.
• US Spot BTC ETFs saw $1.1B inflows, following a record $1.38B on Nov 7. So far, these ETFs are holding 5.34% of Bitcoin market cap (SosoValue).
• MicroStrategy added 27,200 BTC, boosting its holdings to nearly $23B.
• At $85K, 1 BTC surpassed the value of 1kg of gold.
• BTC reached $93K on Wednesday before rejection, with missed early-sell profits exceeding $18B for U.S. and German governments. 
• Stablecoin supply reached 169.7 billion, marking a new all-time high, surpassing its previous peak in 2022.
• U.S. inflation rose to 2.6% in October, while jobless claims dropped to 217K, the lowest since May.
• Institutional support grew: Genius Group bought $120M BTC, Pennsylvania proposed a $7B Bitcoin reserve, Senator Lummis proposed a Fed Bitcoin reserve funded by gold sales, and 206 SEC-registered funds held BTC ETFs.
• BTC briefly dipped to $87K on Friday after Fed Chair Powell’s rate pause remarks but rebounded to $90K.
• Trump nominated pro-crypto allies: Musk and Ramaswamy to lead ‘DOGE’ agency, Gaetz as Attorney General, and RFK Jr. for Secretary of Health.
• SEC Chair Gensler hinted at resignation, sparking optimism as Robinhood relisted XRP, SOL, and ADA.
• Spot BTC ETFs saw $400M in outflows, breaking a six-day inflow streak. Past outflows over $400M often signaled local price bottoms, as seen on May 1 and Nov 4.
• Bitcoin options heated up with traders betting on $100K by year-end.

Ethereum:

• Weekly performance: +5.25%
• Weekly US Spot ETH ETFs: +$575.04M.
• ETH gained this week but underperformed BTC.
• Despite modest growth, it surpassed $3,400 amid institutional adoption, positive sentiment, and technical support.
• Justin Drake proposed a redesign of Ethereum’s consensus layer, dubbed "Beam Chain."
• Bitwise acquired Ethereum staking provider Attestant, managing $4B in staked assets, while Franklin Templeton expanded its $410M money market fund to Ethereum.
• Wall Street turned bullish on Ethereum, with ETH ETFs seeing a record $295.48M inflow, marking the largest weekly inflow.
• Memecoins surged as exchanges, especially Binance, listed new tokens despite criticism from tech enthusiasts, driving significant trading volume.
• DOGE rose nearly 90% in a week, cementing its position as the top memecoin by market cap.
• Several memecoins hit new ATHs, including PEPE, PNUT, POPCAT, MOODENG, GOAT, HIPPO, and MIGGLES, fueled by hype and listings. Currently favored meme niches: animal (especially Musk’s pets/favorite ones), AI meme, D.O.G.E meme. 
• Amid the community’s love for memes, an interesting trend emerged from tech coins’ social media: Claiming themselves “memecoins,” starting with Litecoin.
• Tech coins also performed well, with SUI, XRP, and ADA rallying, the latter two benefiting from regulatory clarity.
• Prominent listings:
  • Binance Futures: PNUT, ACT, HIPPO, X, DEGEN; Launchpool: Usual (USUAL)
  • Binance Spot: PNUT, ACT
  • Coinbase: PEPE, WIF
  • Robinhood: PEPE; XRP, SOL, ADA relisting
  • OKX Spot: MOODENG

Altcoins:

• FTX accused Binance and CZ of causing its collapse, seeking $1.7 billion in a new lawsuit.
• Canary Capital filed for a first-of-its-kind Hedera HBAR spot ETF with the SEC.
• L2 news: Lisk set to airdrop 15M tokens, and Zerion launched the ZERO Network on Ethereum L2.
• ConsenSys decentralizes Linea, transferring governance to the community.
• Tether introduced an RWA platform to enable the tokenization of assets.
• Revolut expanded its crypto exchange to 30 more European markets.
• PayPal USD integrated LayerZero, enabling cross-chain transfers.
• ZKSync approved distributing 325M ZK tokens to boost cross-chain liquidity.
• Phantom issued an emergency patch after an update disrupted iOS wallet access.
• PancakeSwap launched a Telegram bot for direct trading within the app.
• Kraken’s Layer 2 Ink released fault-proof tech in its initial stage.
• South Korea’s Upbit faces investigations over 500,000 KYC violations.
• Aave sought community feedback on expanding to Bitcoin Layer 2 Spiderchain.
• Alameda Research sued the Waves founder to recover $90 million.
• World Liberty Financial, backed by Trump, integrated Chainlink and teased cross-chain features.
• 3AC liquidators aimed to revise claims against FTX from $120M to $1.53B.
• Litecoin rebranded as a memecoin, sparking discussions in the crypto space.
• Delta Prime suffered its second exploit in two months, with losses exceeding $10M.
• Blur proposed adding trading fees and removing creator fee guarantees.
• Coinbase launched the COIN50 index, available as a perpetual future with 20x leverage.
• Bitwise debuted an Aptos staking ETP on the SIX Swiss Exchange.

Dogecoin Surges After Trump Launches DOGE Initiative

President-elect Donald Trump has launched the Department of Government Efficiency (DOGE), led by Elon Musk and Vivek Ramaswamy, aiming to reduce $6.5 trillion in government spending. Following the announcement, Dogecoin surged by 150% to $0.4039, reflecting its sensitivity to Musk’s influence. Daily trading volume reached $47 billion, spurred by the release of DOGE-themed merchandise. Additionally, Musk's reference to the "Peanut the Squirrel" meme caused the Solana-based PNUT token to skyrocket by 585%. Other meme coins, including Pepe, also experienced significant gains due to increased trading access, highlighting a trend of market speculation intertwined with political narratives.

Binance Criticized Over Solana Meme Coin Listings

Binance faced criticism after the surprise listing of two Solana-based meme coins, ACT I: The AI Prophecy (ACT) and Peanut the Squirrel (PNUT), leading to dramatic price spikes of 2,100% and 354%, respectively. Allegations of pump-and-dump schemes have emerged, with critics claiming that Binance's opaque listing process benefits insiders. Reports stated that ACT lacked developer support prior to its listing, yet surged to a $20 million market cap. In 2024, Binance listed 15 tokens, with 12 experiencing significant gains, reflecting a trend favoring popularity over traditional metrics, prompting calls for increased transparency in listing practices.

XRP Hits Yearly High Amid Regulatory Speculations

On November 15, 2024, Ripple's XRP surged to a year-to-date high of $0.904, marking a 28% increase, following Robinhood's listing of XRP and speculation about SEC Chair Gary Gensler's potential resignation. The market interpreted Gensler's possible departure as a signal for regulatory relief, boosting bullish sentiment. Whales have accumulated over 45 billion XRP, and analysts predict prices could reach between $1 and $3.30 if regulatory pressures ease. Concurrently, 18 states launched a lawsuit against the SEC for overreach, while Trump's return to presidency raises hopes for a more favorable regulatory environment for crypto innovation.

Franklin Templeton Expands Money Market Fund to Ethereum

Franklin Templeton has expanded its OnChain U.S. Government Money Market Fund (FOBXX) to Ethereum, enhancing its compatibility with blockchain technology. Now the third-largest tokenized money market fund, FOBXX boasts a market cap of $410 million. Ethereum, with a market capitalization of $1.6 billion, stands as the dominant platform for tokenized assets, outperforming alternatives like Stellar and Solana. This move follows expansions to Base, Aptos, and Avalanche, underscoring a trend toward blockchain integration in finance. The success of other funds, such as BlackRock’s BUIDL ($545 million) and Ondo’s USDY ($452 million), reflects this shift toward transparency and efficiency in investments.

BlackRock Expands BUIDL Fund to Five Blockchains

BlackRock's USD Institutional Digital Liquidity Fund (BUIDL) is expanding its reach by integrating with five new blockchains: Aptos, Arbitrum, Avalanche, Optimism's OP Mainnet, and Polygon. This strategic move enhances its presence in the $2.3 billion tokenized U.S. Treasury market, where it already manages over $520 million. Launched in March, BUIDL is backed by short-term U.S. government bonds and offers a competitive fee structure—50 basis points for Ethereum-related transactions and reduced to 20 basis points on the new platforms. This multi-chain strategy positions BUIDL for operational efficiencies and increased investor engagement in tokenized assets.

Polymarket CEO's Home Raided Amid Regulatory Probe

On November 13, 2024, federal agents raided Polymarket CEO Shayne Coplan's Manhattan apartment, seizing electronic devices amid an investigation into the platform for allegedly operating as an unlicensed commodities exchange. This raid occurred shortly after Polymarket placed Donald Trump’s odds of defeating Kamala Harris in the presidential race at 58.6%. Coplan criticized the raid as a politically motivated attack, emphasizing Polymarket’s non-partisan commitment and calling for supportive regulatory frameworks. Financially, the platform saw $3.7 billion in election bets but faced an 84% drop in trading volume post-election, raising concerns over regulatory overreach in blockchain innovation.