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Sui's native token (SUI) surged to an all-time high of $4.96 before a sharp decline to $3.49, followed by a recovery to around $4.55, marking a 12.8% increase from its weekly low. The volatility led to nearly $14 million in liquidations, with analysts predicting a potential rise to $6 amid growing investor interest and strategic partnerships. Institutional attention is increasing, driven by Sui's technology and upcoming integrations, suggesting a bullish outlook as 2025 approaches.
The crypto industry saw significant growth in 2024, particularly with Base, a layer-2 network from Coinbase, which experienced a 56x increase in user count, contributing 13.7 million new users. Ethereum also performed well, attracting 1.56 million users monthly and 10.9 million super users in DeFi, while Bitcoin's user growth was minimal, with only 935,900 new users despite a surge in prices and the launch of spot Bitcoin ETFs. This disparity highlights the need for networks to enhance on-chain activity to attract and retain users.
Dogecoin (DOGE) surged 12% as the cryptocurrency market rebounded after a sharp sell-off, which saw $1.42 billion in liquidations. Cardano (ADA) also experienced a significant recovery, rising 15% to briefly hit the $1 mark, following a lower-than-expected inflation gauge from the Fed. The Fed's recent interest rate cut to a target range of 4.25%-4.5% has influenced market sentiment, despite a projected reduction in rate cuts for 2025.
Investors withdrew a record $680 million from Bitcoin ETFs, marking the largest outflow in months, as Bitcoin's price fell 5% to around $97,400. This decline follows the Federal Reserve's updated projections, which now anticipate only two rate cuts in 2025, leading to bearish sentiment in the market. Analysts warn that continued selling pressure could further strain market sentiment, with potential volatility ahead if Bitcoin drops below key support levels.
A prominent crypto analyst warns of potential price volatility in the digital asset market before year-end, suggesting one or more market flushes may occur. He anticipates a rally in January, advising investors to sell underperforming assets for cash to reinvest in stronger projects like decentralized finance protocol Usual (USUAL), which has shown resilience during market downturns. The analyst also notes that Bitcoin (BTC) may approach a local bottom, predicting a possible decline to around $90,911 before a reversal.
21Shares has registered the "21Shares Polkadot Trust" in Delaware, signaling a potential launch of a Polkadot (DOT) Exchange-Traded Fund (ETF) aimed at both institutional and retail investors. This move comes amid growing institutional interest in cryptocurrency and anticipated regulatory clarity in the U.S., particularly with a pro-crypto stance from President-elect Donald Trump. As Polkadot prepares for its Polkadot 2.0 release in Q1 2025, its innovative technology and collaborations, such as with Alchemy Pay, are enhancing its global presence and interoperability.
A top 2% investor warns that we are approaching the end of a significant financial euphoria, similar to the dot-com bubble. The technical strategist, who accurately predicted the S&P 500's rise to 6,000, believes that stocks are vulnerable to a negative catalyst that could trigger a 20% drop.
Ethereum has faced rejection at the $4,000 resistance level for the third time since March 2024, currently trading at $3,400 after a 6.7% drop in 24 hours. Despite a 47% year-to-date gain, it lags behind Bitcoin and other cryptocurrencies, with significant outflows from spot ETH ETFs and bearish sentiment among futures traders. Analysts suggest potential price consolidation ahead, with some predicting a bounce, while concerns about Ethereum's supply issuance and the Ethereum Foundation's selling practices persist.
Long-term Litecoin (LTC) holders, comprising 78% of addresses, are showing resilience amid market volatility, with many anticipating a price surge past $200. Historical trends suggest a potential rally similar to 2020, especially following the recent buzz around a Litecoin ETF filing with the SEC. Analysts predict LTC could reach $150 soon, reflecting strong buy signals and increased trading volume.
Bitcoin has experienced a significant correction, dropping 15% from its all-time high of $108,300, with market sentiment shifting from bullish to cautious. The recent surge in selling activity on Coinbase, the highest since October 26, indicates a potential shift from optimism to fear, as Bitcoin tests critical support at $92,200. The next few days are crucial for determining whether Bitcoin can regain its bullish momentum or if a deeper correction is imminent.
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