● Glassnode: The severity of market retracements during Bitcoin's bull market is gradually diminishing
According to Jinse Finance, on-chain analytics company Glassnode disclosed data showing that although the sharp price increases during Bitcoin's bull market are usually accompanied by extreme selling pressure, as the market size expands, the severity of market retracements during each bull market rally gradually diminishes.
The deepest retracement of this cycle occurred on August 5, 2024, with a decline of 32%. During most retracements, the price of Bitcoin only fell 25% below local highs, indicating that the volatility of this cycle is among the lowest to date. This may reflect that the launch of a spot ETF has opened a huge demand window, while institutional investor interest is also continuously growing. The supply from the vast majority of short-term holders (measured by the number of coins) operates 'underwater' relative to their cost basis, but they have not endured extreme unrealized losses associated with market deterioration.
According to Odaily Planet Daily, Santiment stated on the X platform that Bitcoin and altcoins have recovered well during the Christmas period.
The number of BTC wallets categorized by size is as follows: 50.17 million wallets hold 0-0.1 BTC, 4.31 million wallets hold 0.1-10 BTC, 150.13 thousand wallets hold 10-1,000 BTC, and 2,050 wallets hold 1,000+ BTC.
Especially among the groups holding 10-1,000 BTC and 1,000+ BTC, as long as their numbers increase and continue to accumulate, the bull market is likely to continue, similar to the performance throughout 2024.
According to PANews, Matrixport data shows that after Bitcoin rises more than 40% in 30 days, it usually enters a consolidation period. Currently, the price has fallen about 5% compared to a month ago.
Historical data shows that Bitcoin often experiences a retracement after completing similar gains, consistent with past cycle patterns. During a bull market, a 10% to 20% retracement from recent highs typically forms an ideal re-entry zone. For example, if Bitcoin retraces from a high of $108,000 to the $90,000 to $95,000 range, this could become an excellent retracement area. As long as the price remains within a -20% retracement range and continues the current cycle trend, it is expected to lay the foundation for a new round of increases in 2025.
● Report: The top three most popular crypto narratives among investors in 2024 are Meme, AI, and RWA
According to ChainCatcher, CoinGecko statistics show that the top three most popular crypto narratives among investors in 2024 are Memecoin, AI, and RWA. Memecoins rank first in popularity, accounting for 14.36% of investor interest in crypto narratives.
While the notion of a 'Memecoin super cycle' is subjective, 2024 has indeed birthed many noteworthy opportunities for Memecoins.
At the same time, the overall narrative of AI ranks second in popularity, with an investor interest share of 12.58%. In addition to the overall AI narrative and the trend of AI Memecoins, the AI Agent narrative also entered the top 20 with a 1.17% share of investor interest.
Compared to the previous year, other popular crypto narratives that received more attention in 2024 include Real World Assets (RWA) and DePIN narratives. The share of RWA narratives in investor interest increased by 2.16 percentage points, rising from 6.48% in 2023 to 8.64% in 2024, causing its popularity ranking to rise from 6th to 3rd.
According to PANews, Michael Saylor stated that MicroStrategy ($MSTR) achieved a 0.72% Bitcoin yield in its financial operations last week, netting an additional 3,177 Bitcoins. Based on a price of $94,000 per Bitcoin, this translates to approximately $299 million in earnings for shareholders.
● Media: Some major banks in the U.S. plan to sue the Federal Reserve over annual stress tests
According to ChainCatcher, market news indicates that several large banks plan to sue the Federal Reserve over annual bank stress tests, with the lawsuit expected to be filed this week, possibly as early as Tuesday morning local time.
The Federal Reserve announced in a statement on Monday that it plans to adjust bank stress tests, but did not provide specific details. These adjustments may not alleviate concerns banks have regarding capital requirements.
Greg Baer, CEO of the Bank Policy Institute (BPI), welcomed the Federal Reserve's statement but hinted that further actions may be taken to ensure reforms comply with laws and policies.
