Affected by the decline of US stocks yesterday, the crypto market is following the US stocks in a correction. Bitcoin fluctuated at $92,800, and Ethereum fluctuated at $3,350.
The market has been falling recently, mainly due to insufficient market liquidity and the fact that US institutions and investors are still on Christmas holiday.
Another part of the reason is because of Mentougou.
In the past two weeks, the Mt. Gox address has been selling bitcoins, selling a total of 1,338 bitcoins, worth about $123 million. They still have more than 36,000 bitcoins left.
However, this selling pressure has little impact on the market, and the market needs some time to digest this selling pressure.
Think about it, the Grayscale Fund sold hundreds of thousands of bitcoins, and the market was able to hold up, not to mention the tens of thousands in Mentougou.
The good news is that MicroStrategy announced yesterday that it spent approximately US$209 million to buy 2,138 bitcoins, with an average price of approximately US$97,837 per bitcoin.
At the same time, Tether also bought 7,629 bitcoins worth $705 million.
Starting from May 2023, Tether will use 15% of the company's profits to buy Bitcoin every quarter. The total value of Bitcoin they hold now reaches US$7.7 billion, making it the 6th largest BTC wallet address.
All these show that big institutions are still buying Bitcoin in large amounts. I myself have been buying at the bottom recently. I think Bitcoin has reached a bottom range and the current price is very attractive.
Now the market is expecting Trump to fulfill his promises after taking office, so I am optimistic about the market conditions in the first quarter of next year.
If Trump starts fulfilling his promises as soon as he takes office in 2025, the prices of Bitcoin and Ethereum may experience a surge.
However, if Trump's promise is not fulfilled or is not as good as market expectations, there may be a relatively large correction.
Therefore, the position of altcoins must be controlled well and must not be overweight.
Among the altcoins, the AI proxy track performed the strongest today
Today, ai16z and eliza both rose against the trend.
Judging from the current trend, the AI AGENT track is developing very rapidly, and Binance and Coinbase may launch AGENT-type tokens in the future.
The popularity of AI agents has far exceeded that of meme coins, with high funding, developers, and attention.
I think the AI AGENT track may see a big explosion in 2025.
These agents are no longer limited to performing a single task, but are able to trade autonomously, collaborate with other agents, and interact with humans in innovative ways.
At present, the leaders in the AI agency track are VIRTUAL, AI16Z, and Aixbt, and the second-best are GAME and ELIZA.
AI16Z plans to develop Layer 1 of AI, and ELIZA has become the top popular repository on GitHub in December.
It is worth noting that Grayscale Research updated the list of the top 20 assets in the crypto industry in the first quarter of 2025, adding HYPE, ENA, VIRTUAL, JUP, JTO and GRASS.
Grayscale said they will focus on projects in three core markets this quarter: the U.S. election and its potential impact on industry regulation, especially in areas such as DeFi and staking; breakthroughs in decentralized AI technology and the application of AI agents; and the growth of the Solana ecosystem.
Therefore, in terms of investment strategy, I recommend allocating 80% of your positions to Bitcoin, because it has the highest certainty and there is a lot of room for imagination after Trump takes office.
The remaining 20% can be allocated to projects in the AI AGENT, HYPE and DEFI tracks.
If you don’t have much money, you can only choose the leading project; if you have a lot of money, you can distribute it to some second and third leading projects.
At 8 o'clock tonight, we will have a members-only live broadcast on Tencent Meeting.
I will share my latest understanding and key data on these tracks, so remember to come and listen.