Daily Market Report (January 8, 2025, 21:00)
ChainDD's January 8 market report shows that the comprehensive DD index and CoinMarketCap quotes:
BTC is priced at $95,267.92, down about 5.77% in 24 hours.
ETH is priced at $3,359.84, down about 7.87% in 24 hours.
BNB is priced at $695.71, up about 1.08% in 24 hours.
DOGE is priced at $0.3467, down about 9.96% in 24 hours.
DOT is priced at $6.87, down about 11.00% in 24 hours.
Blockchain Circle Dynamics
Ripple Survey: Over half of respondents in the Middle East and Africa support adopting blockchain.
Reece Merrick, Managing Director of Ripple for the Middle East and Africa, posted on X on Monday, emphasizing the increasing importance of cryptocurrencies in the payment sector and citing insights from Ripple's 2024 New Value Survey. He explained, "Nearly 2,000 leaders from global financial institutions and enterprises participated in this survey, including more than 200 respondents from the UAE, Saudi Arabia, and Turkey."
Merrick revealed that the most frequently mentioned application of blockchain technology among respondents from the Middle East and North Africa is 'enabling customers to make payments using blockchain-based currencies (52%).' He noted that 'accepting payments in blockchain-based currencies (47%)' is the second major focus of respondents. Merrick also emphasized the growing interest in the digital asset market, highlighting that 'buying/selling/trading other types of digital assets (e.g., other types of tokens, such as tokenized securities or RWA) (42%)' has become a major priority for a significant portion of respondents.
Cryptocurrency Circle Dynamics
Fidelity Digital Assets: More nation-states, central banks, sovereign wealth funds, and government treasuries will adopt Bitcoin strategies in 2025.
Fidelity Digital Assets research analyst Matt Hogan stated in a report titled 'Outlook for 2025' published on January 7 that, 'We expect more nation-states, central banks, sovereign wealth funds, and government treasuries to seek to establish strategic positions in Bitcoin.'
He added that these institutions may take note of the strategies adopted by Bhutan and El Salvador, 'as well as the substantial returns they have obtained from these positions in a relatively short period.' Given the challenges posed by rising inflation, currency devaluation, and increasing fiscal deficits, the risks of not allocating Bitcoin may be greater than allocating it for countries.
If the U.S. continues to push its Bitcoin strategic reserve plan, 'nation-states are likely to start secretly accumulating Bitcoin,' Hogan said, 'No country has the incentive to announce these plans, as doing so could attract more buyers and drive up prices.'
Wang Yongli, former vice president of the Bank of China: View Trump's new Bitcoin policy rationally, and do not blindly follow the trend.
Wang Yongli, former vice president of the Bank of China, in an article published in (China Foreign Exchange) issue 1 of 2025 (View Trump's Bitcoin Policy Rationally), pointed out that Bitcoin highly mimics gold at the 'coin' level, and is thus referred to as 'digital gold.' However, Bitcoin is a purely chain-based digital asset and not a natural physical asset; its value depends on the development potential of its application scenarios and people's belief and investment. Bitcoin can be divided into tiny units of one hundred millionth, making it more flexible for payments, but it does not have real gold backing and does not strictly belong to 'paper gold.' Once trust is lost, it will become worthless, with far greater risks than gold.
Moreover, Trump's Bitcoin policy is difficult to implement. First, it is challenging for the U.S. to have new Bitcoin. The development of quantum computing technology will also pose significant challenges to the security of Bitcoin and other cryptocurrencies. Second, the so-called national strategic reserve for Bitcoin, whether it is the government's (fiscal) strategic reserve or the Federal Reserve (central bank) as a strategic reserve for the dollar, carries risks and uncertainties. Replacing gold reserves with Bitcoin reserves is unlikely to have a practical positive impact on the dollar and is also difficult to use for repaying government debt. Finally, Trump's Bitcoin policy contradicts his stance of strengthening the dollar as the global key currency.
Therefore, Bitcoin can only be a new type of tradable wealth or digital asset, making it difficult to become a true currency, and it cannot replace sovereign currencies. Whether it can replace gold as a national strategic reserve remains in great doubt. The international community should treat Trump's Bitcoin policy calmly and objectively without blindly following the trend.
Asymmetric founder: Macroeconomic and sentiment changes have led to short-term pressure on Bitcoin, but the long-term outlook remains bullish.
Joe McCann, founder and CEO of cryptocurrency investment firm Asymmetric, has taken a more pessimistic outlook on Bitcoin's short-term performance while maintaining a long-term bullish stance. He stated that due to macroeconomic changes and shifts in sentiment continuing to weigh on upward momentum, Bitcoin faces short-term pressure.
Despite reaching a historic high of over $108,000 last December, Bitcoin has seen a pullback due to the strengthening dollar, increased volatility, and cautious positions from traders. McCann pointed out that a series of market signals, including the Federal Reserve's hawkish press conference on December 18 and significant fluctuations in the volatility index (VIX), have shifted short-term probabilities towards a downward correction. He added: "In a bull market, sometimes the weighted probabilities of outcomes tend to decline, and even if only for a few weeks, it may create opportunities for alpha returns."
Nominal value of approximately $2.229 billion in BTC and ETH options will expire and settle on Friday.
Deribit data shows that nominal value of approximately $1.783 billion in BTC options and $446 million in ETH options will expire and settle on Friday (January 10); the maximum pain point price for BTC is $98,000, while for ETH it is $3,500.
Matrixport: Bitcoin may recently enter a short-term consolidation phase.
Matrixport released today's chart stating that fluctuations in global liquidity may exert some pressure on Bitcoin. Historical data show that liquidity changes typically lead Bitcoin price trends by about 13 weeks. As the dollar strengthens after Trump's reelection, global liquidity measured in dollars begins to tighten, suggesting that Bitcoin may enter a consolidation phase in the near future.
However, this consolidation is expected to be a temporary phenomenon. Overall, risk assets (especially Bitcoin) still exhibit positive long-term potential. Nevertheless, in a weaker liquidity environment, traders should maintain a higher level of caution, as these indicators have historically proven to be reliable market barometers.
Bhutan's Grelup Mindfulness City (GMC) announces the inclusion of BTC, ETH, and BNB in its strategic reserves.
According to news from the official website of Bhutan's Grelup Mindfulness City (GMC), Bhutan's Grelup Mindfulness City (GMC) has announced the inclusion of BTC, ETH, and BNB in its city strategic reserve assets, becoming one of the first special administrative regions in the world to incorporate digital assets into its strategic reserves.
According to information from the official website, BNB has been included in the reserve asset list due to its high market value, ample liquidity, and operation on a mature and secure blockchain. One of GMC's future economic focuses is to promote and support the application of blockchain technology, which not only strengthens GMC's economic resilience but also demonstrates its determination to develop blockchain technology. In March 2025, GMC will hold a high-level meeting to discuss digital asset strategic reserves and establish an international advisory committee.
Analyst: Concerns about long-term inflation triggered by macroeconomic data have led to declines in Bitcoin and Ethereum prices.
According to The Block, Presto Research analyst Min Jung stated that due to ongoing macroeconomic concerns regarding persistent inflation, markets, including stocks, have been performing poorly. Not only cryptocurrencies, but the Nasdaq index and the S&P 500 index also fell more than 1% yesterday, mainly due to ISM data showing that U.S. economic growth exceeded expectations, triggering concerns about sustained inflation and causing bond yields to soar, with the 10-year Treasury yield reaching its highest level since April.
Renowned trader Ansem: The experience of the past three years is that shorting ETH is always safe.
Renowned trader Ansem posted on platform X, stating: "If you ask me what I learned in the past three years, it is that shorting ETH is always safe; the time it is unsafe is zero. Even looking at it over a million years, shorting ETH will not be unsafe."
Fidelity: Nation-states and central banks are expected to purchase Bitcoin in 2025.
Fidelity Digital Assets predicts that 2025 will be a turning point for Bitcoin adoption, with more countries, central banks, sovereign wealth funds, and government treasuries expected to purchase Bitcoin to establish strategic reserves. The report noted that, as inflation rises, currency devalues, and fiscal deficits expand, allocating Bitcoin may better address macroeconomic headwinds than not allocating it.
Fidelity analyst Matt Hogan stated that Bitcoin, as a strategic asset, may attract more countries to adopt accumulation strategies, although some countries may secretly purchase to avoid driving up market prices. Currently, the United States, China, the United Kingdom, Ukraine, Bhutan, and El Salvador hold the most Bitcoin among governments, most of which have been acquired through government seizures or recovered from criminal activities. Additionally, the report mentioned that both presidential candidate Trump and Senator Cynthia Lummis support establishing a national Bitcoin reserve. If the Bitcoin bill proposed by Lummis in 2024 passes, it may encourage other countries to follow suit. Fidelity pointed out that this political and financial game will further drive global adoption of Bitcoin.
