Market Picture
The crypto market has risen by more than 3% in the last 24 hours to reach $3.69 trillion, this time thanks to the euphoria surrounding Bitcoin.
The price of the first cryptocurrency surpassed $100,000, a psychologically important milestone. The price then stabilised at $102.4K. It took almost two weeks from approaching this level to crossing it, during which time altcoins became the market driver. Perhaps the pendulum of interest will swing back to bitcoin for a while.
Powell, the Fed chairman, once again referred to Bitcoin as the digital analogue of gold, which was seen as a bullish signal to overcome resistance. While we believe Powell was the reason for the recent momentum, we attribute it to his upbeat comments on the economy, which supported risk appetite. Next, automatic stop orders came into play, pulling the market higher in thin Asian trading.
Ethereum’s next important level for the cryptocurrency markets could be $4,000, which it failed to consolidate above earlier this year.
News Background
Grayscale Investments has filed with the SEC to convert the GSOL Trust into a Solana Spot ETF. Canary, VanEck, 21Shares, and Bitwise are also pending applications to launch Solana ETFs.
Paul Atkins, whom the media have touted as a leading candidate for the position of SEC chairman, has been interviewed by President-elect Donald Trump. However, according to CoinDesk, the position is not attractive to Atkins due to the amount of work involved.
BNB hit a new all-time high above $790 after DEX PancakeSwap unveiled Springboard, a platform for issuing meme coins on the BNB chain.
According to QCP Capital, the main driver of altcoin growth was the proposal to abolish the capital gains tax on cryptocurrencies, which representatives of US companies drafted. The market expects this will create a more favourable regulatory environment for the crypto industry.
