Daily news | BTC Breaks $100,000 for the First Time, Altcoins Continue to Rally
Crypto Daily Digest: BTC Breaks $100,000 for the First Time, Altcoins Continue to Rally
Trump nominates Paul Atkins as SEC Chair; cryptocurrency market experiences a pullback after a widespread rally.
On December 5, Republican President Donald Trump announced on Wednesday that he would nominate Paul Atkins to serve as Chair of the U.S. Securities and Exchange Commission (SEC).
MicroStrategy Sells Over $6 Billion in Convertible Notes to Purchase Bitcoin; Hedge Funds Buy for Arbitrage Bets
Eli Pars, Co-Chief Investment Officer at Calamos Advisors LLC, is one of the buyers of the over $6 billion in convertible notes sold by MicroStrategy this year, which are used to continually expand its Bitcoin reserves. Like many other managers, Pars is utilizing these notes for market-neutral arbitrage bets, taking advantage of the significant volatility of the underlying assets.
South Korean Ruling Party Representative Calls for President Yoon Suk-yeol to Resign Again, While Seeking to Block Impeachment Motion
Han Dong-hoon, the representative of South Korea’s ruling party, has once again called for President Yoon Suk-yeol to resign but is also seeking to block the impeachment motion against him.
Putin: Bitcoin is Better Than Dollar Reserves; No One Can Ban Bitcoin
Russian President Vladimir Putin questioned the necessity of holding foreign exchange reserves on Wednesday, stating that such reserves can be easily confiscated for political reasons. He mentioned that investing these reserves domestically is more attractive.
November CEX Trading Volume Reaches $2.71 Trillion, Highest Level Since May 2021
According to data from The Block Pro, CEX trading volume reached $2.71 trillion in November, the highest level since May 2021 ($4.16 trillion).
Privacy Blockchain Namada Completes Phase 1 of Mainnet Launch
The privacy blockchain Namada announced the completion of Phase 1 of its mainnet launch, with staking and governance features now live.
Meitu Sells Approximately 31,000 Ethereum and 940 Bitcoin
According to market news, Meitu has sold about 31,000 Ethereum and 940 Bitcoin. The company stated that approximately 80% of the proceeds from the cryptocurrency sales will be used to pay special dividends.
Market Analysis: ETH Gains Strength Over BTC; Altcoins Experience Rotation
Market Highlights:
-The altcoin season index has risen to 90. After a rise in altcoins, there was a slight pullback this morning. The RWA sector and CEX platform tokens, which led the gains yesterday, have also seen corrections, while Virtuals Protocol and Tron ecosystem tokens are leading the way.
-Data shows that since November 5, the total cryptocurrency market cap excluding BTC (TOTAL2) has experienced a one-sided upward trend, rising approximately 98.8% after hitting a low of $856.1 billion on November 5. The altcoin season index has surpassed 90, reaching a new high for the year. Meanwhile, Bitcoin’s market dominance (BTC.D) has dropped to 51.4%, down 10.38% from the peak of 61.78% on November 21.
-Influenced by listings on major exchanges, tokens such as MOG, KAIA, GIGA, AERO, and TURBO surged last night.
-Major exchanges, including Gate.io, are expected to launch MOVE (Movement) spot trading on December 9. Movement is a popular parallelized Move-EVM protocol.
Market Trends:
-BTC has steadily risen, breaking the $100,000 mark for the first time. Yesterday, Bitcoin spot ETFs saw net inflows of $550 million. Data indicates that the supply of short-term holders (STH) has approached 3.28 million Bitcoin, a level historically associated with market peaks. This suggests rising retail interest. However, increased profit-taking by long-term holders (LTH) is putting pressure on Bitcoin’s upward momentum, which may hinder further gains.
-ETH has surged past $3,800, reflecting a 3.71% increase over the past 24 hours. ETH spot ETFs have seen significant net inflows for ten consecutive working days, contributing to a growing bullish sentiment in the market.
-Bitcoin’s market dominance has slightly increased, while altcoins continue to maintain an upward trend. The established DeFi lending protocol Compound (COMP) has experienced a rapid rebound, with a 24-hour increase of 40%, marking a new high for several months.
Macro: Federal Reserve Expected to Pause Rate Cuts; U.S. Stock Indices Close Higher
Fed Chair Jerome Powell recently stated that the condition of the U.S. economy is better than expected since September, suggesting that the Federal Reserve can be more cautious regarding rate cuts. Due to the strong U.S. economy, the Fed may exercise some restraint in lowering rates.
This statement was interpreted by the market as slightly hawkish, but it did not directly comment on whether a rate cut would occur in December, leaving some uncertainty regarding expectations for future rate cuts. All three major U.S. stock indices closed higher, with cryptocurrency-related stocks leading the gains.
Furthermore, Trump’s formal nomination of Paul Atkins as SEC Chair has provided a short-term boost to the cryptocurrency market. Compared to the current SEC Chair Gary Gensler, Atkins is expected to adopt a more lenient stance towards cryptocurrencies, with plans to review multiple regulations and seek reforms to promote capital formation.
