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crypto.news 2025-01-07 04:23:34

Binance Research monthly report presents important insights into the crypto market

The Dec. 2024 report highlights key developments in market capitalization, Bitcoin’s rise, Ethereum’s growth, and the expanding role of AI in the cryptocurrency ecosystem. The report from Binance Research highlights important changes that occurred in the cryptocurrency sector in Dec. 2024. On Dec. 17, 2024, crypto market capitalization reached its highest point at $3.91 trillion, propelled by institutional adoption and regulatory confidence. You might also like: Institutional investors’ long-term outlook on crypto is confident, Binance Research shows Due to further acquisitions and MicroStrategy’s inclusion in the Nasdaq 100, Bitcoin ( BTC ) reached an all-time high of $108,000. The rise was further bolstered by speculation that the US might adopt BTC as a strategic reserve asset. A $500 billion drop in market value resulted from the Federal Reserve’s announcement later in the month to scale back its planned rate reductions for 2025 from four to two. With a 123.4% increase in market capitalization, BTC surpassed Saudi Aramco and silver to become the seventh-largest asset globally. Its expansion was aided by the BTC Halving, spot ETF approvals, and broader market recovery. Due to 10% staking yields and its addition as a collateral asset on Aave, Ethena’s USDe stablecoin, which is based on Ethereum ( ETH ), became the third-largest stablecoin with a market valuation of $5.9 billion. You might also like: Binance Research forecasts 2024 trends, themes in crypto Decentralized spot and perpetual trading volumes reached all-time highs of $326 billion and $356 billion, respectively. The total value locked in lending and liquid staking protocols rose to $55 billion and $71 billion, respectively. Solana’s ( SOL ) DeFi ecosystem faced challenges, including a $1.1 billion decline in TVL and a 7% drop in daily active addresses. In contrast, Sui’s TVL rose to $1.8 billion, driven by key protocols like Suilend and NAVI Protocol. With startups like Virtual Protocol and ai16z obtaining multi-billion-dollar valuations, AI agents gained traction. As AI and cryptocurrency become more integrated, these self-governing agents are being used for tasks like market analysis and trading. You might also like: Holdstation launches A(i)gentFi, the first AI agent hub on ZKsync In Dec. 2024, NFT trading volumes on ETH totaled $888.2 million. With the introduction of the PENGU token, Pudgy Penguins enjoyed tremendous growth, while sales of classic collections like CryptoPunks and Bored Ape Yacht Club declined. Reduced activity in respective NFT markets was also noted by other chains, such as SOL and BNB Chain. As the crypto ecosystem enters 2025, the report focuses on how changes in market dynamics, advancements in regulations, and advances in decentralized systems have altered it. You might also like: Binance Research: NFTs witnessed turnaround in November, reversing year long downward trend

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