In today’s report, we’ll take a closer look at Bitcoin’s recent surge, its impact on altcoins, and the evolving landscape in the cryptocurrency market. From Bitcoin’s dominance to the rise of memecoins and gaming tokens, as well as promising projects and noteworthy developments, we’ll provide key insights into what’s driving the cryptocurrency space. Let’s dive deeper into the headlines and discover what’s shaping today. The fascinating dynamics of the cryptocurrency market.
L1, L2 and DeFi
Market Status: Were Back
TLDR
Bitcoin’s surge from $38,000 to nearly $44,000 impacted altcoins and Bitcoin’s dominance.
The main narrative revolves around ordinal numbers, led by $ORDI and other BRC-20 tokens.
Meme coins and gaming tokens such as $DOGE, $BONK, and $IMX have gained traction.
Digital asset investments saw significant inflows of $176 million over the past week.
Stacks’ ecosystem and native token STX have experienced significant growth
Solana-based projects, such as Jito and token airdrops, attracted users amid Solanas resurgence.
Bitcoin witnessed a notable surge this week, breaking the $38,000 resistance and approaching $44,000. The rally had a significant impact on altcoins, allowing liquidity to flow into Bitcoin. Bitcoin’s dominance has fluctuated in recent weeks, influenced by factors such as Bitcoin ETF expectations.
The market is at a crossroads, it could be stable Bitcoin and altcoins rising, or Bitcoin falling affecting altcoins. The main narrative this week revolves around the ordinal numbers, led by $ORDI, which tripled its market capitalization in a week. Other BRC-20/ordinal coins such as $SATS, $TRAC, $MUBI and $PIZA have also seen significant growth.
Memecoins and gaming tokens gain momentum: Memecoins are gaining traction, especially as mature tokens that can be traded on centralized exchanges. Coins like $DOGE, $BONK, $PEPE, $SHIB, $MEME, $FLOKI, $TOKEN, and $BITCOIN experienced significant price increases. While major game tokens, such as $IMX, $ILV, and $GALA, performed poorly in front of BTC, several other game-related tokens, including $SUPER, $RON, $SHRAP, $SIPHER, and $WILD, Remarkable results have been achieved.
Surge in inflows: Digital asset investments experienced significant inflows of $176 million last week. Over the past 10 weeks, total inflows are as shown in the table:
The Stacks ecosystem, a Bitcoin second layer solution, is making waves in the cryptocurrency market. One of the key drivers of this trend is the popularity of the Ordinals protocol, which was introduced on January 21st. Stacks’ native token, STX, has seen phenomenal growth since its launch. STXs price surged, with its market capitalization increasing from $370 million to $1.2 billion. STX’s daily trading volume increased by a staggering 14,925%, rising from $4 million to $601 million.
Emerging Trends and Projects: Exciting developments like the Runes Token Standard and Trac/Tap Protocol are pushing the boundaries of what is possible within the Bitcoin ecosystem. These innovations are designed to enhance the functionality and interoperability of the network. Additionally, notable projects such as Udis Project Taproot Wizards and Nodemonkes, as well as the emergence of new memecoin standards, indicate that this is a rapidly growing field that attracts developers and investors.
The number of engravings continues to climb, and the growth since July is quite impressive. Source: Dune.
According to data from “Dune”, the costs associated with creation continue to rise.
Solana-based crypto staking project Jito will issue its governance token JTO via airdrop to users of its liquid staking token protocol jitoSOL. The JTO token opened at $1.20 and quickly climbed to $2 on Solana’s decentralized exchange, exceeding pre-market expectations. Major exchanges such as Coinbase and Binance plan to list JTO.
The launch of the JTO token coincides with a resurgence in Solana’s popularity and price, with SOL already soaring 542% this year. The Solana ecosystem has seen a wave of token airdrops aimed at capitalizing on this favorable trend. Many expect more airdrops to come from the Solana ecosystem, which continues to attract a large number of users to Solana.
Source: Dune
Finally, there is increasing activity in the on-chain Alpha space. There has been a significant increase in crypto fundraising activity. Several developments have contributed to this trend, including Frax Finance’s Fraxchain Testnet, Celestia’s Ethereum second-layer solution backtracking, and Arbitrum DAO’s financial support for ecosystem projects. Projects like Injective, Hashflow, Mantle, and Balancer are releasing updates and gaining traction. In addition, the introduction of Aevo’s aeUSD stablecoin is also a major event. Empyreal’s SDK v1 and Starknet Foundation’s token airdrop snapshots also add to the on-chain activity.
Overview of blue chip stocks and major projects
creation
ORDI, which is based on Bitcoin Ordinals, has seen a significant increase in market capitalization recently. As of last week, ORDI price growth reached a staggering 192%, surpassing the $50 mark. This remarkable growth has increased its market cap by more than 850% from its early price of around $6.80 on November 5.
This increase made ORDI the first BRC-20 token to reach a market capitalization of $1 billion on December 5, 2021. Currently, its market capitalization is $1.3 billion. Data from Dune Analytics shows that since the protocol was launched, more than 48 million Ordinals assets have been created, generating more than $146.9 million in fees for the Bitcoin network. Interestingly, on November 20, the Bitcoin network’s transaction fees surpassed those of Ethereum, mainly due to more creation of new NFTs and BRC-20 tokens such as ORDI.
BTT
BTT has more than doubled in price recently. This growth is in line with growing optimism for the Tron blockchain, which has reached 200 million users. Tron founder Sun Jiang said that the announcement of user milestones has had a positive impact on the BTT market. BitTorrent now has a market capitalization of $958 million. At the same time, daily trading volume increased by 540% to $256 million.
Helium recently launched unlimited nationwide mobile plans in the US, and HNT is up over 20% in the past 24 hours.
LUNA has gained 77% in the past 7 days and the price is expected to reach $0.0003.
TIA is up 65% this week amid heated discussions about its upcoming airdrop.
Along with the price increase, STX also experienced significant growth of 42%, with daily trading volume increasing by 615%, social activity rising by 90%, and holding interest increasing by 83%.
IOTA is up 63% in two weeks following the launch of the Abu Dhabi IOTA Ecosystem DLT Foundation.
Over the past month, AMP has seen daily growth of 32% and weekly growth of 41%, with transaction volume surging by 2,369%.
BEAM has soared 200% in the past month. BEAM is a gaming-focused Avalanche sub-network of the gaming guild Merit Circle. The sharp increase in BEAM indicates the recovery of the GameFi field.
ILV is trading above $100, growing 54% over the past 30 days. However, over the past week, the price has fallen by 5%. ILV was affected by bullish sentiment in the GameFi space.
RON surged 42% in the past week. The number of daily active users of the Ronin chain has continued to increase
BIGTIME is up 235% in the past seven days. However, an unusually high number of liquidations caused the coin to drop 18% in the past 24 hours.
Smart money flow
Token
Among smart money addresses, the BRC-20 token emerged as the dominant narrative, demonstrating an interesting shift within this narrative. A notable change is that smart funds gradually exited $Mubi and strategically moved into $BSSB. This suggests that smart money from $Mubi is looking for ways to reinvest profits, potentially triggering a rise in other coins within this narrative.
Another exciting coin that is attracting smart money interest is $NCDT, an innovative cloud computing project that allows users to monetize their idle computing power - an interesting concept.
Smart money takes a nuanced approach to ensure profits in the market step by step. This strategic move aims to protect existing
Additionally, smart money has strategically amassed $MAP, an all-channel infrastructure focused on Bitcoin L2 and P2P cross-chain interoperability that is an invaluable addition to the BRC 20 narrative.
$UNIT has also attracted the attention of smart money. It is a browser plug-in that is also a trading terminal and can be seamlessly integrated with trading tools such as $GMX and $BANANA, demonstrating its versatility in the eyes of smart investors. .
income farm
Farming $PNP on Magpie
The practice of growing $VRTX on the Vertex platform is becoming increasingly popular among smart farmers who are looking for diversification opportunities
On Aerodrome, some smart farmers are actively participating in planting vAMM-WETH/UNIDX and can obtain annualized returns of up to 50%.
Prisma Finance and SPARK maintain their status as smart farmer favorites, largely due to their consistently solid annualized returns.
For those exploring other options, ones worth looking at are (agEUR/wstETH LP) and (agEUR+ARB LP) on Camelot. These LPs offer attractive annualized yields, adding to the diversity of opportunities available in the dynamic yield farming sector.
This is just a preview of our weekly L1, L2 and DeFi report, be sure to check it out herecomplete version。
NFTs and games
The NFT market is definitely booming again. NFTs across various ecosystems are becoming more and more popular. The highlight of the week was the surge in activity related to Bitcoin engraving. It will be interesting to observe how inscriptions propagate on other blockchain networks inspired by the Bitcoin ecosystem.
Project updates
Fxhash has launched. As a generative art platform that emphasizes openness, it is launching version 2.0 of its website. This evolution will see the project become multi-chain, expanding from its Tezos roots to now also support minting on Ethereum.
Developers of Axie Infinity have partnered with game development company Foonie Magus to launch their new game.
Sound partners with Coinbase to launch Music Quest collectibles.
Leading esports organization Team Liquid is partnering with Illuvium for the beta testing of Illuvium: Arena.
Buterin Cards has completed the mining process.
Echelon has planned to launch Sanctuary, a custom Parallel marketplace, on December 11th.
Fren Pets reveals its latest roadmap.
Ethereum gaming NFT market Aqua terminates operations due to slow industry growth
Animoca Brands is one of the largest investors in the cryptocurrency space, with their most significant investment in the GameFi space. DeFi_Mochi takes a deep dive into some of the projects in their gaming portfolio.
Blue chip stocks overview
Various collectibles have seen significant growth in recent weeks, illustrating the dynamic and often unpredictable nature of this market. Pudgy Penguins have risen significantly over the past week, while other collectibles have also seen significant increases in value. Kanpai Pandas is up 69%, Azuki is up 13%, World of Women is up 52%, and Cool Cats is up 29%
Mad Lads: Mad Lads on the Solana blockchain have stood out during the recent NFT craze. This marks a significant increase in its value since early November. In the 24-hour NFT sales rankings, Mad Lads also became the best-selling project, even surpassing Bored Ape Yacht Club, which was popular on Ethereum during the same period. Factors contributing to Mad Lads success include Solanas recent price increase and its association with Backpack apps and the unique functionality of executable NFTs (xNFTs). Additionally, Coral, the startup behind Mad Lads, will launch its own cryptocurrency exchange, further increasing the value of this collection.
In November, Ethereums NFT-based transaction volume reached $605 million, a significant increase from the previous month. Solanas NFT market also witnessed an increase in transaction volume in November and December, reaching $9.3 million on November 30, with Tensor playing an important role in this.
The craze is not limited to one blockchain but is being seen across platforms, which shows that the market is recovering broadly. Led by Bitcoin Ordinals, an NFT collectible on the Bitcoin blockchain, the transaction volume reached US$370 million, an increase of 2163%. Ethereum-based NFT collectibles followed, with transaction volume reaching $344 million, an increase of 51.70%. Other Solana NFT-based works and collectibles on Mythos Chain and Polygon also recorded significant trading activity, with sales growth of 162%, 29% and 34% respectively.
Daily NFT trading volume is increasing significantly
Source: Dune
Changes in trading platforms and market dynamics: A major development in the NFT market is the shift in trading volume from OpenSea to Blur. By the end of 2023, Blur accounted for nearly 80% of NFT trading volume, a sharp rise that began in October 2022. This shift shows that NFT traders and collectors prefer platforms that better meet their needs. OpenSea, once the dominant player in the market, now accounts for only about 17% of total NFT trading volume.
Although Blur controls 80% of trading volume, most daily transactions are still conducted on Opensea.
Degen Corner
Cradles, a dinosaur-themed massively multiplayer online game, has introduced its in-game token CRDS and offers players the opportunity to earn rewards by holding or staking these tokens. In addition, players can earn CRDS tokens through in-game activities.
The digital collectible series Bruce Lee Year of the Dragon will be released exclusively on EthernityChain on December 16.
Join the waitlist to experience Wanderers.AI games powered by great backers like Animoca, OpenSea and GameFive. Register here.
Parallel Season 5 is now live, offering exciting opportunities to earn the latest Legendary cards and Battle Pass cosmetics.
Animoca Brands is partnering with Pixels to allow players with a Moca ID to earn Realm Points by completing introductory missions to the multiplayer farming game. In addition, Moca ID holders can use their Moca NFTs as in-game avatars and receive various benefits and rewards in the Mocaverse ecosystem. Get your Mocaverse ID here.
The popularity and progress of NFTfi continues to increase. Hyperliquid has launched the new NFTI index, marking an important step in the development of the NFT market. At the same time, LooksRare is undergoing a major change with the migration of LOOKS rewards, a move that reflects the platform’s development strategy and user engagement approach. Additionally, NFTfi.com launched its Bonus Season 2 event.
NFT data platform BitsCrunch will hold a token sale on Coinlist on December 14th. Participants must complete registration by December 11th. During the sale, 6% of the total token supply (equivalent to 60 million BCUT tokens) will be sold at a price of $0.055 per token, giving a total valuation of $55 million FDV.
MAGIC has gained 24% over the past two weeks. However, the price fell by 4% in the past 24 hours and stabilized at around $0.88.
WILD has soared 36% over the past week as Wilder World prepares to unveil its multiplayer universe at Gateway Miami.
ATLAS has grown 20% over the past week as the total market cap approaches $100 million.
WRLD has surged 165% in the past 14 days and the coin looks to hit $0.1. Since then, the project has been given a high risk, high reward rating by Investor Observer.
DFL has also performed well over the past week, growing more than 50%. The total market value has exceeded US$25 million.
Due to the short-term correction, GALA has fallen below the psychological support level of $0.03.
BLUR fell below $0.5 after an 8% correction. The market capitalization is still above $56 billion.
SAND has gained 8% over the past week, rising from $0.40 to $0.445. There has been some speculation regarding X and The Sandbox potentially moving to Ronin.
This is just a preview of a portion of our NFT weekly report, be sure to check outhereView the full version of the report.
