VanEck analysts voiced forecasts for the crypto market in 2025

Analyst Matthew Siegel and his colleagues from the investment firm VanEck formulated forecasts for the crypto market dynamics in 2025. He suggested that the bullish cycle will continue and reach a mid-term peak in the first quarter of 2025. A drawdown will follow this: Bitcoin will lose up to 30% of its price, and altcoins - up to 60%.

By the end of the year, the market will update the ATH. Bitcoin will be traded at $180,000, the price of Ethereum will exceed $6,000, Solana - $500, Sui - $10.

Siegel believes that the US will create a bitcoin reserve, and the government will meet cryptocurrencies halfway. The new SEC leadership will approve many spot exchange-traded products for crypto assets. Staking will be introduced for Ethereum-ETP.

 

Spot Bitcoin ETFs Record $637 Million in Net Inflows

December 16 was a landmark day for the cryptocurrency market, with spot BTC ETFs recording $637 million in net inflows, marking the 13th consecutive day of positive momentum, according to SoSoValue. The surge was part of a broader rally that saw Bitcoin hit a new all-time high of $107,000.

BlackRock’s IBIT led the way, recording the largest one-day inflow of $418 million, bringing its total net inflows to $36.3 billion. Fidelity’s FBTC came in second with $116 million, bringing its total holdings to $12.4 billion. Other major players such as Grayscale GBTC ($17.65 million) and Ark ARKB also saw active contributions, indicating growing institutional investor involvement.

 

Bitcoin Sets New Record as BTC Price Surpasses $106,000

Bitcoin (BTC) hit an all-time high on Monday, rising to $106,488.25. This happened amid Donald Trump’s big announcement on December 12 at the New York Stock Exchange. The US President announced plans to create a strategic reserve in BTC, noting the importance of cryptocurrencies for the future of the United States economy.

Adding fuel to the crypto euphoria was the legislative initiative of Republican Senator Cynthia Lummis. Her bill, the BITCOIN Act, provides for the US to purchase one million BTC over the next five years to combat the national debt, which exceeds $35 trillion.

 

Pudgy Penguins' PENGU Token Drops Over 50% After Launch

The Pudgy Penguins NFT token, PENGU, has fallen over 50% in the first hours of trading after announcing an airdrop on December 17, 2024.

Pudgy Penguins has distributed about half of the total 89 billion PENGU tokens among its community members. In particular, about 26% is intended for NFT holders, the team noted.

The market cap of the PENGU token, issued on the Solana blockchain, was about $2.8 billion at the start of trading, according to CoinGecko. However, at the time of writing, this figure has dropped to $2 billion.

Since the Pudgy Penguins project appeared on the market in 2021, the team has managed to launch other NFT collections, notably Lil' Pudgys and Pudgy Rods, Cointelegraph notes.

 

Bitcoin Fell Below $104,000 After Fed Rate Cut

On December 18, the US Federal Reserve System (FRS) lowered the key rate range by 25 bps, to 4.25-4.5% per annum. This is the third such move in a row, starting from September.

The decision coincided with both market expectations and analysts' consensus forecast.

Against the backdrop of the FRS decision, the first cryptocurrency fell below $104,000. At one point, the asset fell to $103,500.

Other cryptocurrencies from the top 10 by capitalization also showed a decline. Ethereum fell to $3,850.

At a press conference, Fed Chairman Jerome Powell spoke about the economy's strength and the labor market's recovery. According to him, the latter is no longer an obstacle to reducing inflation to target levels.

However, he added that from now on the regulator will be more careful in approaching the decision on a further rate cut. The Fed's next meeting on this issue is scheduled for January 29, 2025. According to the CME FedWatch Tool, at the time of writing, there is an 88.5% chance that the key rate will remain unchanged.

 

MetaMask Soft Launches Its Debit Card in the US

Leading self-custody wallet MetaMask has made its debit card available to users in the US as part of a limited pilot program. At the moment, only a few select users can access the card, and a full release date has not yet been announced.

The project shared the news in an announcement on its X account. Part of the message read: “Today we are launching a limited pilot program in the United States where some of you will receive the MetaMask Card and try it out before it goes into a wider release.”

 

Cryptocurrency Market Liquidates Over $1.1 Billion in 24 Hours

The cryptocurrency market wiped out traders' positions worth over $1.1 billion in just 24 hours. Both long and short traders suffered heavy losses, but long positions accounted for the bulk of the liquidations. A whopping $1.03 billion was made from long positions, while short positions lost $155.02 million.

The liquidation frenzy wasn't limited to just one or two assets. Bitcoin and Ethereum were the hardest hit, but altcoins were also hit. Traders who took the risk of making leveraged bets faced a brutal reckoning as sudden market movements triggered margin calls.

 

Xterio Chain Takes First Place in DappRadar's Game Rankings, Reaches 10 Million Addresses

On December 19, OP Stack-based L2 solution Xterio Chain took first place in DappRadar's daily game rankings, reaching 10 million addresses. The project also took fourth place in the overall UAW rankings for 24 hours.

According to DappRadar, the Web3 game BeFriend AI, which launched last week, helped achieve this result.

BeFriend AI combines AI modeling with Web3 asset creation tools. The game provides creators with a platform where they can use artificial intelligence to create stories that other players can then experience.

 

North Korean hackers stole $1.34 billion worth of crypto assets in 2024

Since the beginning of the year, hackers linked to North Korea have stolen “more crypto assets than ever before” — $1.34 billion, according to a report by Chainalysis.

According to their observations, the total amount of stolen funds has increased by 21% compared to the 2023 figure — $2.2 billion versus $1.8 billion; the number of corresponding incidents has increased from 282 to 303.