Regarding ETFs, on December 17, Bitcoin spot ETF had a net inflow of $493 million, and Ethereum spot ETF had a net inflow of $144 million
At 3 a.m. on Thursday, the Federal Reserve will announce its interest rate decision, with a nearly 100% probability of a 25 basis point cut.
Today's small pullback is normal, as investors need to hedge against tonight's Federal Reserve interest rate meeting. The focus of this meeting is no longer a 25 basis point cut, but rather the dot plot and Powell's speech.
The Federal Reserve may execute only 2 to 4 rate cuts in 2025. The higher the interest rate in 2025, the higher the probability of a black swan event, and the market will be more worried about the delay of easing policies, so investors' risk awareness is increasing.
In addition to the interest rate meeting, there is also the question of whether Japan will raise interest rates in December, with results expected on the 19th. Although the probability of a rate hike is indeed low, it is normal to take precautions, and today's two events are likely linked to next week's Christmas.
Overall, the issue is not big
On December 17, 2024, the Bitcoin Policy Institute drafted an executive order proposing to establish a strategic Bitcoin reserve under the Trump administration's Exchange Stabilization Fund (ESF), which requires Trump to sign after taking office to take effect
This executive order designates Bitcoin as an asset suitable for strategic acquisition within the Treasury's Exchange Stabilization Fund (ESF), establishing a strategic Bitcoin reserve, and serving as a permanent national asset
The policy in the U.S. is:
1. Establish a strategic Bitcoin reserve to develop our economy and consolidate America's future financial dominance
2. Designate Bitcoin as a strategic asset held by the U.S. government, expanding the diversity of assets held by the ESF to safeguard national economic security and competitive advantage in the 21st century, and promote industry development by attracting capital, talent, and voices
It is currently difficult to find reasons to be bearish on Bitcoin because the recent accounting standards set by the Financial Accounting Standards Board (FASB) for cryptocurrencies have come into effect, allowing businesses to register held digital assets at fair market value, which may drive U.S. companies to adopt and embrace digital assets more actively, and with a friendly regulatory environment, demand for Bitcoin from institutions will be stimulated and grow!
Come and see a set of data
Binance's recent actions in listing coins:
The current price of PENGU is 0.0285, with a market cap of $1.869 billion, and a fully diluted market cap of $2.662 billion
The current price of 1000CAT is 0.0423, with a market cap of $292 million, and a fully diluted market cap of $389 million
The current price of VANA is 16.5, with a market cap of $500 million, and a fully diluted market cap of $2 billion
The current price of VELODROME is 0.186, with a market cap of $164 million, and a fully diluted market cap of $360 million
The current price of ME is 3, with a market cap of $400 million, and a fully diluted market cap of $3.079 billion
Looking at it now, the frequency of new coin listings in the past month has been super high, and most of the coins listed on Binance have high market caps, many VC coins, and every new listing dilutes liquidity! In the absence of an increase in USDT issuance, users wanting to buy new coins must sell their old coins, and with so many new listings in such a crazy market size, it is certainly not beneficial for the development of altcoins!
Moreover, the performance of these new VC coins is truly abysmal. How many people have been trapped by new coins and cut down? This is also why many people online have been criticizing Binance recently!
We need to focus on strategy, not predictions:
When the overall trend hasn't changed and the pullback of the favorable coins is sufficient, that's when we need to act. Execution is tough, but often the harder part is patience.
Don't panic, brothers! Hold on to valuable coins, and every drop should be a brave search for valuable coins, then hold them tightly and don't get shaken off!
Remember that every drop now is for better rises in the future; selecting the right targets is more important than anything!
