Although Bitcoin has always been blocked at the key threshold of 100,000 dollars, funds have clearly flowed into the altcoin market. Data shows that Bitcoin's market share has dropped to 55.25%, while Ethereum has risen to 12.74%, with the ETH/BTC exchange rate stable above 0.037, and smaller altcoin sectors have begun their performance.
In the public chain sector, ADA rose again by over 15%, priced around 1.3 dollars. The weekly chart is remarkably showing five consecutive increases, achieving over 400% returns from a bottom of 0.3 dollars. FTM rose over 17% today, priced around 1.2 dollars. AVAX rose over 10% today, with a 7-day increase of over 20%, and XRP saw a 7-day increase of over 85%, currently priced at 2.7 dollars.
In the RWA sector, the ONDO segment even set a new historical high, now priced at 1.65 dollars, with a 24-hour increase of over 35% and a 7-day increase of over 64%. The DeFi sector LINK rose by 24.49%, MKR rose by 16.08%, and AAVE also recorded an increase of over 11%.
The market is showing promising growth; what are the reasons?
Tether has minted 16 billion tokens on Ethereum and TRON chains.
Lookonchain monitoring shows that Tether Treasury minted an additional 1 billion USDT around 6 AM today. Tether Treasury has cumulatively minted 16 billion USDT on Ethereum and Tron chains since November 6.
USDC's market capitalization has also risen from 15 billion dollars at the beginning of this month to around 40 billion dollars.
Currently, the total market capitalization of stablecoins has risen above 19.39 billion dollars, setting a new historical high, with a total increase of 2.3% over the past seven days.
The continuous growth of stablecoin market capitalization indicates that incremental funds are still entering the market to chase tokens of smaller market cap projects; after the hype surrounding new projects, older projects are also seeing their own resurgence.
U.S. regulatory policy changes are favorable.
Bitwise CEO Hunter Horsley recently stated, 'In the past 30 days, Coinbase's market capitalization increased by about 30 billion dollars, and XRP's market capitalization increased by about 100 billion dollars. The shift from regulatory resistance to regulatory favor in the U.S. is one of the biggest and most important structural catalysts we've seen in the crypto space. Its impact has just begun.'
Trump is set to officially take office as the next president on January 20 next year, but recently he has been making frequent moves in personnel arrangements, not only planning to expand CFTC's regulatory authority over the crypto market but also delineating the responsibilities between CFTC and SEC. Additionally, according to FOX Business reporters citing sources, Trump is also expected to announce the successor to the SEC chairman tomorrow.
Since SEC Chairman Gary Gensler announced he would resign when Trump takes office, the market is eagerly anticipating the SEC successor. Although the specific candidates are still unknown, the market generally believes that the next SEC chairman will shift from a strict style to a more crypto-friendly attitude.
Careful market investors have noticed that the leading gains in the market, such as ADA and XRP, have also benefited from the shift in U.S. policies and have soared. Good news keeps coming; WisdomTree has submitted an XRP ETF S-1 registration document to the U.S. SEC. ADA has also been listed on Robinhood US along with XRP and SOL.
As early as November 25, DWF founder Andrei Grachev analyzed that the U.S. election has a huge impact on the market, and in the short term, domestic projects and top VCs in the U.S. will be the most profitable.
Inflow of buying in the South Korean market.
The crazy extent of coin speculation in South Korea has been known worldwide since the last bull market cycle. Following the recent rise in the market, buying funds are continuously flowing into South Korea.
On major South Korean cryptocurrency exchanges Upbit and Bithumb, the number of user accounts aged 60 and above reached 775,700 (as of the end of September), an increase of 30.4% compared to the end of 2021. This age group holds a total of 67.609 trillion won in cryptocurrency assets, with an average investment of about 8.72 million won per person. Meanwhile, the balance of demand deposits at South Korea's five largest banks is 592.67 trillion won, a decrease of 26.95 trillion won since the end of June, marking a new low since January this year.
In November 2024, CryptoQuant data shows that the total monthly trading volume of stablecoins on South Korea's top five CEXs—Upbit, Bithumb, Coinone, Korbit, and GOPAX—was about 16.17 trillion won (11.5 billion dollars). This figure includes the total trading volume of stablecoins like Tether (USDT) and USDC issued by Circle and has increased sevenfold from about 2 trillion won recorded at the beginning of the year. This is also the first time South Korea's monthly stablecoin trading volume has exceeded 10 trillion won.
The buying frenzy for XRP is overwhelming. Ryan Kim, a partner at South Korea's largest crypto venture capital firm Hashed, stated on social media that in 2014, Ripple Labs sold XRP in South Korea via the 'Ripple Market Korea' project in a Ponzi scheme manner, attracting a large number of South Korean investors. These early investors may have reaped substantial returns, and there is a genuine XRP community in South Korea, which is why South Koreans are buying XRP in large quantities.
CoinGecko data shows that the trading volume of South Korea's CEX Upbit reached 18.449 billion dollars in the past 24 hours, ranking second among CEXs, while Binance, the number one CEX, had a trading volume of 50.572 billion dollars yesterday.
The Trump effect, combined with expectations of interest rate cuts, has accelerated the migration of South Korean funds from banks to risk assets.
Summary
Bitcoin spot ETFs saw inflows of 6.5 billion dollars in November alone, setting a new historical high, far exceeding any other month this year. Currently, BTC prices are continuously supported by spot ETF buying, with a large amount of capital flowing from Bitcoin and Ethereum into various sectors and both new and old projects. Matrixport analysis indicates that if Trump's nominations for the Treasury and SEC are realized, the narrative in the crypto market may evolve into a revival of DeFi. The crypto market may maintain a trend of fluctuating upward until Trump is officially inaugurated.
