Cryptocurrency markets saw another week of consolidation following the long-awaited market rebound last week.
While Bitcoin (Bitcoin) remained above the key psychological level of $90,000, and “fear” continued to dominate investor sentiment, with a marginal improvement from 20 to 25 during the week, according to CoinMarketCap’s Fear and Greed report. index.
In the broader cryptocurrency space, Ether (Ethereum) Vault trading appears to be on the decline, with monthly acquisitions of Ethereum digital asset vaults (DATs) down 81% in the past three months from their August peak.
However, BitMine Immersion Technologies, the largest Ethereum holder, has continued to collect ETH, while other treasuries have continued their efforts to raise funds for future acquisitions.
Investors are also awaiting a key interest rate decision during the US Federal Reserve’s next meeting on Wednesday to provide more signals on monetary policy through 2026.
Markets expect an 87% chance of a 25 basis point rate cut, up from 62% a month ago. According to To CME Group’s FedWatch tool.
Ethereum treasury trading plunged 80% as a handful of whales dominated the buying
Ethereum treasury trading appears to be declining as monthly takings continue to decline since the August high, even though the largest players continue to accumulate billions in Ethereum supply.
Investments from Ethereum DATs have fallen by 81% in the past three months, from 1.97 million ether in August to 370,000 ether in November, according to Bitwise, an asset management company.
“The ETH DAT bear continues,” Max Shenon, senior associate researcher at Bitwise, wrote on Tuesday X. mail.
Despite the slowdown, some companies with strong financial backgrounds have continued to accumulate the world’s second-largest cryptocurrency or raise funds for future purchases.
Immersion techniques in BitMineEthereum, the largest holder of Ethereum, amassed about 679,000 ETH worth $2.13 billion over the past month, completing 62% of its goal of amassing 5% of the Ethereum supply, according to data from Strategic reserve.
BitMine has an additional $882 million in cash according to the data aggregator, which could indicate more incoming ether accumulation.
Citadel is making waves by urging the SEC to regulate premium DeFi stocks
Market maker Citadel Securities recommended that the US Securities and Exchange Commission tighten decentralized finance regulations regarding token stocks, causing a backlash from cryptocurrency users.
Citadel Securities told the Securities and Exchange Commission in A letter On Tuesday, DeFi developers, smart contract programmers, and self-custodial wallet providers should not be granted a “broad exemption exemption” to offer trading in tokenized US stocks.
It argued that DeFi trading platforms would likely fall under the definitions of “exchange” or “broker-dealer” and should be regulated under securities laws if they offer tokenized shares.
“Granting a broad exemption to facilitate the trading of token shares via DeFi protocols would create two separate regulatory regimes for trading the same security,” she said. “This outcome would be the opposite of the ‘technically neutral’ approach taken by the Exchange Act.”
Citadel’s letter, filed in response to the SEC seeking comments on how it handles regulation Token sharesand has sparked significant backlash from the cryptocurrency community and organizations that champion blockchain innovation.
Arthur Hayes warns that Monad could collapse by 99%, calls it a high-risk ‘VC coin’
Cryptocurrency veteran Arthur Hayes issued a warning about Monad, saying its recently launched layer-one blockchain technology could decline by as much as 99% and end up as another failed experiment driven by venture capital hype rather than real adoption.
Speaking on Altcoin Daily, former BitMEX CEO described project as “another high-FDV, low-float VC coin,” arguing that its token structure alone puts retail traders at risk. FDV means Fully diluted valuewhich is the market value of a cryptocurrency project if all of its tokens were already in circulation.
According to Hayes, projects with a large gap between FDV and circulating supply often see an early price spike, followed by a deep sell-off once internal tokens are unlocked. “There will be another downward streak,” Hayes said, adding that while every new coin gets an initial pump, that doesn’t mean it will develop a permanent use case.
Most new Layer 1 networks eventually fail, with a few likely to retain long-term significance, Hayes said. He identified Bitcoin, Ether, Solana (Sol) and like cash (Like you) as a small set of protocols that are expected to continue into the next cycle.
Last year’s monad It raised $225 million in funding From venture capital firm Paradigm. The first layer blockchain was launched on Monday, accompanied by An airdrop of its MON token.
The $25 billion cryptocurrency lending market is now led by two “transparent” players: Galaxy
The cryptocurrency lending market is more transparent than ever, led by the likes of Tether, Nexo, and Galaxy, and has just reached a total loan book of around $25 billion outstanding in the third quarter.
The size of the cryptocurrency lending market has increased by more than 200% since the beginning of 2024, According to For galactic research. The latest quarter puts it at its highest levels since its peak in the first quarter of 2022.
However, it has not yet returned to its peak of $37 billion at the time.
The main difference is the number of new ones Central financing Lending platforms and more transparency, said Alex Thorne, head of research at Galaxy.
Thorne said on Sunday that he was proud of the chart and its shareholder transparency, adding that it was a “big change from previous market cycles.”
Bitcoin Gateway Raises $25 Million and Launches Atomic OTC Desk
Bitcoin’s original interoperability protocol, Portal to Bitcoin, has raised $25 million in funding amid the launch of what it describes as an atomic over-the-counter (OTC) trading desk.
According to a Thursday announcement shared with Cointelegraph, the company has raised $25 million in a round led by digital asset bank JTSA Global. The fundraising follows previous investments by Coinbase Ventures, OKX Ventures, Arrington Capital and others.
Alongside the new funding, the company rolled out its Atomic OTC desk, promising “instant, trustless cross-chain settlement of large block trades.” The newly published service reminds us of Atomic exchanges across the chain Provided by THORChain, Chainflip, and more Bitcoin– Focused systems such as Liquality and Boltz.
What sets Portal to Bitcoin apart from others is its focus on the Bitcoin-centric OTC market for institutions and whales, along with its technology stack. “The portal provides the infrastructure to make Bitcoin the settlement layer for global asset markets, with no bridges, custodians or wrapped assets,” said Chandra Duggerala, founder and CEO of Portal.
DeFi Market Overview
According to data from Cointelegraph Pro Markets And TradingView, most of the 100 largest cryptocurrencies by market cap ended the week in the red.
The Canton Token (CC) fell by 18%, recording the largest decline of the week among the top 100 coins, followed by the Starknet Token (STRK), down 16% on the weekly chart.
Thanks for reading our summary of this week’s most impactful DeFi developments. Join us next Friday for more stories, insights, and education regarding this dynamically advancing space.
