1. Attention Value-Market Key Points
1. Market conditions
(1) Macro environment:
l U.S. PPI data for November exceeded expectations, rising inflation triggered market volatility
The latest data showed that the U.S. Producer Price Index (PPI) rose 0.4% month-on-month in November, exceeding market expectations of 0.2% and marking the largest increase since June this year. Year-on-year, PPI rose 3%, also the highest level since February 2023, and the market expected 2.6%. This data reflects the rise in inflation.
Although the market generally expects the Federal Reserve to cut interest rates by 25 basis points at its meeting next week, the latest PPI data has increased uncertainty about the prospects for rate cuts next year. The three major U.S. stock indexes fell collectively, with the Dow Jones Industrial Average closing down 0.53%, falling for six consecutive days; the S&P 500 fell 0.54%; and the Nasdaq Composite fell 0.66%. Large technology stocks performed poorly, with Nvidia falling 1.41% and Tesla falling 1.57%.
Investors are confused about the future direction of the Federal Reserve's policies. Although the possibility of a rate cut in December is almost fully priced in, the unexpected rise in inflation data has raised market doubts about the pace of rate cuts next year.
(2) Web3 Field:
l U.S. PPI data released, market volatility intensifies, Trump speaks to boost Bitcoin.
The cryptocurrency market has experienced significant volatility. When Trump rang the opening bell at the New York Stock Exchange, he stated that he would achieve some great goals in the cryptocurrency space, temporarily pushing the Bitcoin price above $102,000. However, affected by the U.S. stock market and PPI data, Bitcoin quickly fell back, dropping below $100,000 again, leading to a general decline in the entire cryptocurrency market.
Nonetheless, the decentralized finance (DeFi) sector performed strongly, mainly driven by the Trump family project World Liberty Financial (WLFI) purchasing Ethereum (ETH), AAVE, and Chainlink (LINK). WLFI currently holds approximately $74.9 million in cryptocurrency assets, with Ethereum being its largest holding, which is seen as the Trump family's optimism about Ethereum's potential and possibly an early layout of their cryptocurrency strategy.
2. Hot Events
(1) Macro Environment:
l Trump team considers canceling or merging financial regulatory agencies to improve efficiency.
According to The Wall Street Journal, Trump's team is exploring whether they can cancel or merge financial regulatory agencies. Insiders revealed that Trump's advisors asked about abolishing the Federal Deposit Insurance Corporation (FDIC) during interviews with potential candidates for banking regulatory agencies. Additionally, they inquired about potential candidates for the FDIC and the Office of the Comptroller of the Currency (OCC). The Trump team proposed plans to merge or completely reform the FDIC, OCC, and the Federal Reserve to improve the efficiency of government regulation.
(2) Web3 Field:
l Chill Guy image hacked, Phillip Banks quickly clarifies, community suspects it to be a wash trading.
On December 13, artist Phillip Banks, who created the Chill Guy image, posted on social media, emphasizing that the Chill Guy image and rights will never involve cryptocurrency. He accused certain conspiracy groups of spreading hate, attacking families, and profiting from his personal art, all without permission. Banks stated that he is prepared to legally fight these cryptocurrency platforms. Subsequently, Phillip Banks clarified on Instagram that his X account had been hacked and is currently inaccessible, with some radical statements on X not being made by him. According to GMGN market data, following the release of tweets related to 'crypto hate speech', the price of CHILLGUY briefly plummeted by 15% but then quickly rebounded, effectively wiping out the decline. The community speculates that this incident may have been a premeditated 'wash trading' operation.
3. Hot Narratives
l Travala's annual revenue exceeds $100 million, CZ boosts AVA token price by 342%.
The travel agency supporting cryptocurrency payments, Travala, recently announced that its annual revenue has exceeded $100 million, marking further application of cryptocurrency in the tourism industry. The company has also launched native token AVA and a reserve strategy for Bitcoin. Binance founder CZ (Zhao Changpeng) retweeted this news, making Travala quickly the market focus and driving the AVA token price significantly up. According to CZ's post, he mentioned that he invested in Travala well before the end of 2019 and has consistently supported the development of this cryptocurrency travel platform. Travala acts as an online travel agency, providing booking services for flights, accommodations, and activities, accepting over 100 types of cryptocurrencies and fiat payments. The platform combines blockchain technology to enhance users' travel booking experience.
After CZ's retweet, the price of AVA token rapidly increased, soaring from $0.7647 to $2.8 in less than 30 minutes, then reaching a near 24-hour high of $3.38, marking a new high since November 2021, with a cumulative increase of 342%.
II. Attention Value - Hot Projects
1. Project Introduction
l $GWART | AI Bot | @GwartyGwart @GwartyGwartBot
- Narrative: Zero-Knowledge Snark (GWART) quietly rises in a world filled with chaotic information flow, becoming the 'humorous and harmonious soul' within the CT circle with its unique perspective on Zero-Knowledge Snark.
- Just because AI bots are easy to establish does not mean that recreating the best CT characters is not an important task.
- Forwarded and followed by Toly.
III. Attention Value - Sector Rotation
1. Hot Sectors
Source: Dune, Dot Labs
Source: Dune, Dot Labs
2. Internal Sector
Source: Dune, Dot Labs
