Bitget Daily Digest | Controversy surrounds ai16z founder Shaw; top trader Eugene reveals positions (December 23)

Market highlights

1. $HYPE hit a record high before retreating, now ranked 24th by market cap. According to SoSoValue, the Hyperliquid ecosystem saw the sharpest correction, while DeSci emerged as the only growing segment among the trending sectors .

2. Shaw, founder of ai16z, took to X to clarify the project's structures and inter-entity relationships. Key points include: the DAO governs the tokens ai16z and degenai, while ELIZA has team support but isn't an official product. Following the lowercase $eliza incident, Shaw's character has become a topic of heated debate. Both $ELIZA and $ai16z tokens have declined to varying degrees.

3. NFT trading volumes surged 32.93% week-on-week. Within the Azuki ecosystem, both trading volumes and floor prices have climbed steadily. Azuki's official account retweeted Animecoin's post, and the founder teased the "Azuki World Bible" on social media, hinting at a potential token issuance.

4. Eugene, a top trader, shared his trading insights, endorsing $MOODENG, $CHILLGUY, $PNUT, and $GOAT as strong long-term holdings. Meanwhile, traditional banks are expanding into Layer 2 solutions, with Deutsche Bank building on the ZKsync Stack, supported by Matter Labs. With several use cases tested, these developments present new trading opportunities. 

Market overview

1. BTC experienced downward volatility as the broader market softened. Total trading volume stood at $170.81 billion, a 20.6% decline from the previous day. New tokens showed mixed performance, with smaller tokens seeing pockets of rallying activity.

 2. On Friday's "Triple Witching" day, U.S. stocks rebounded sharply, with the Dow gaining over 1000 points intraday. However, it marked the third consecutive weekly decline. U.S. inflation data came in below expectations, putting pressure on the dollar, while Treasury yields rose, and gold futures gained more than 1%. 

3. Currently at 95,123 USDT, Bitcoin is approaching a potential liquidation zone. A 1000-point drop to around 94,123 USDT could trigger over $230 million in cumulative long-position liquidations. Conversely, a rise to 96,123 USDT could lead to more than $337 million in cumulative short-position liquidations. With short liquidation volumes far surpassing long positions, it's advisable to manage leverage carefully to avoid large-scale liquidations.

4. Over the past 24 hours, the BTC spot market recorded $2.5 billion in inflows and $2.8 billion in outflows, resulting in a net outflow of $300 million .

5. Over the past 24 hours, tokens like $UXLINK, $MOCA, $XVG, $ZEN, and $BADGER have led in net inflows in futures trading, signaling potential trading opportunities .

Highlights on X

1. @jason_chen998 analyzes the Ethereum Foundation's unusual token sale

The Ethereum Foundation has sparked widespread skepticism by publicly selling small amounts of ETH, rather than using OTC channels for discreet transactions. Despite selling only 4600 ETH over the year, this move has negatively impacted market sentiment. It's highly unusual and offers no clear financial benefit, leading to criticism. The sale could be an intentional signal, possibly to emphasize certain values or even hint at motives like price control or redistribution plans. Regardless of the intent, the Foundation’s centralized approach and lack of communication only fuel further speculation.

X post: https://x.com/jason_chen998/status/1870771943991042462

2. AB Kuai.Dong: Fat Penguin's second chance – A blueprint for Solana's next leader

The Fat Penguin NFT has entered a stable value range after a dip post-airdrop. Its potential lies not only in Wintermute's market-making support but also in its aim to create its superchain, Abstract, which is expected to be a Solana-based Layer 2 chain. This initiative fills a gap for blue-chip NFT projects within the Solana ecosystem, driving growth. Amid a sector-wide NFT correction, PENGU's governance token shows strong potential for long-term growth and could emerge as a leader within the SOL ecosystem. If the market continues to dip, the plan is to accumulate in phases while closely monitoring developments. If the market dips further, plans are to buy in batches while keeping a close eye on subsequent developments.

X post: https://x.com/_FORAB/status/1870021456954044815

3. @比特傻: Usual, a seemingly seductive but hollow RWA narrative

Usual has gained attention for its RWA (Real-World Asset) narrative, which centers on tokenizing real-world assets, issuing stablecoins, and promising revenue sharing. However, deeper analysis reveals significant issues: Usual lacks the ability to expand its asset base and depends entirely on Hashnote for asset packages, falling short of competing with USDT or USDC. Furthermore, RWA revenue does not directly benefit Usual or USD0 holders; instead, it is directed to the protocol’s treasury. The tokenomics rely on outdated DeFi models, such as staking and LP incentives, with most profits controlled by project owners rather than users. Despite its limited utility, the protocol continues to receive high valuations from the market.

X post: https://x.com/bitfool1/status/1870400821294412053

4. @s4mmy.moca: Latest AI agents insights – in-depth market attention and trends analysis

A comparison of market share and valuation for top AI agent projects, including Virtuals and AI16Z, reveals their dynamic shifts. Additionally, Binance Alpha's new project, GnonOnSolana ($GNON), is emerging as a potential market trendsetter. Meanwhile, Cookie ($COOKIE) has introduced advanced analytics for token thresholds, offering deeper insights into AI agent investments. Other developments include the rise of Farcaster activities, fueled by the integration of AI games through Frames Version 2.

X post: https://x.com/S4mmyEth/status/1870828559205642513

 

Institutional insights

1.Glassnode: Bitcoin retracements during bull market trends have become less severe, with most corrections now averaging around 25%.

X post: https://x.com/glassnode/status/1870431232838017510

2.Spartan Group: Historically, altcoins outperform BTC in the year following a U.S. presidential election.

Original link: https://www.spartangroup.io/insights/republican-victory-ushers-in-a-new-era-for-crypto

3.Yuga Labs co-founder: Sold some Fartcoin but remains a top 10 holder.

X post: https://x.com/GordonGoner/status/1870403529095176584

 

News updates

1. Germany's parliament has passed legislation enabling the comprehensive implementation of the EU's crypto regulatory framework, MiCAR.

2. The UAE Ministry of Interior collaborates with FSRA to combat crimes related to virtual assets.

3. Luxembourg has enacted Blockchain Law 4, aiming to expand legal coverage for funds.

 

Project updates

1. Token ticker "HYENA" sold for over $383,700 in the Hyperliquid auction.

2. MemeFi: The MEMEFI staking claim cache issue has been resolved and the queue has restarted.

3. Uniswap's frontend trading revenue has exceeded $130 million.

4. Argentina's mining industry plans to tokenize lithium using Cardano's blockchain.

5. Trust Wallet fixes a balance display issue and restores normal operations.

6. SendAI launches the Solana Agent Kit, enabling AI agents to connect with the Solana network.

7. FalconX announces custody and staking support for Bittensor (TAO).

8. The Base network experiences exponential user address growth in 2024, with TVL reaching $13.41 billion.

9. BIO Protocol: The proposal to enable BIO token transferability has 99.96% support so far.

10. Frax new proposal suggests including BlackRock's BUIDL as a reserve asset for the Frax USD stablecoin.

 

Token unlocks

MetarsGenesis ($MRS): Unlocking 10 million tokens valued at $35 million on December 23, accounting for 11.9% of the circulating supply.

 

Recommended reads

How top traders view the market after recent downturns? 

Should you sell at the peak or boldly buy the dip?

Read the full article here: https://www.bitgetapps.com/zh-CN/news/detail/12560604442236

 

Transformational growth: 2025 Bitcoin and crypto market outlook

A comprehensive analysis from Coinbase, covering altcoins, ETFs, staking, gaming, and other aspects of the crypto ecosystem, provides a deep dive into the 2025 market outlook.

Read the full article here: https://www.bitgetapps.com/zh-CN/news/detail/12560604442235