Preface
Bitcoin and Ethereum have fallen by 5.34% and 6.33%, respectively, in the last 24 hours, with current prices at $99,575 and $3,639. The ETH/BTC exchange rate has dropped to 0.036. The Fear & Greed Index for the crypto market stands at 83, indicating extreme greed.

Market Trending

The market experienced a major drop yesterday. Bitcoin fell from its peak of $108,317, breaking below $100,000. Ethereum, after briefly surpassing $4,000, also faced a sharp decline, dropping to $3,600. Altcoins followed Bitcoin’s trend, with major altcoins seeing a 15% decline across the board.
The primary cause of yesterday’s decline was related to the Federal Reserve’s December FOMC meeting. The Fed announced a 25 basis point rate cut to 4.25%-4.5%, but Chairman Jerome Powell indicated that the Fed will significantly slow the pace of rate cuts going forward, shifting from monthly rate cuts to quarterly or semi-annual cuts. Furthermore, Powell stated that the Fed has no intention of holding Bitcoin and is not seeking legal changes, leading to a market downturn.
Public Chain Sector: This sector saw a relatively smaller drop, with an average decline of 10%. SUI dropped to $4.34, SOL fell below $210, and XRP dropped to $2.3.
DeFi Sector: This sector fell more than 15%, with leading token UNI dipping below $14.5. However, tokens previously boosted by WLFI purchases performed relatively well. AAVE and LINK saw smaller losses, while ENA surged despite the market downturn, due to WLFI’s partnership with Ethena Labs and its increased ENA holdings.
Meme Coin Sector: This sector, highly influenced by the overall market, saw significant drops. DOGE fell below $0.36, PEPE dropped below 0.00002, and WIF dropped below $2.3. Meme coins, known for their sharp rises and falls, were deeply impacted in this downturn, with the entire meme market undergoing a correction.

Spot Bitcoin ETF Flows

Yesterday, the US Bitcoin spot ETF saw a net inflow of $279.75 million, with IBIT receiving a net inflow of $364 million and GBTC experiencing a net outflow of $35.94 million.
Check Out the Latest Prices, Charts, and Data of BTC/USDT Spot and BTCUSDT Perp!

Daily Spotlight

Today’s spotlight is PENGU, with a 24-hour gain of 22.89%.
Pudgy Penguins is an NFT project launched in 2021, featuring 8,888 unique hand-drawn cartoon penguin images. With its cute visual style and positive community culture, it quickly gained traction in the NFT boom. The project has been covered by mainstream media like The New York Times and CNBC, and has become an important symbol of internet culture, with global social media views exceeding 50 billion and millions of loyal followers.
PENGU is the native token of Pudgy Penguins, with a total supply of 88,888,888,888 tokens. Of this total, 46.25% will be allocated through an airdrop with 100% released at TGE (Token Generation Event) and no lock-up period, aimed at community promotion and user incentives.
With the recent recovery in the NFT market, PENGU surged past $0.33, with a 24-hour gain of 22.89%.
Check Out the Latest Prices, Charts, and Data of PENGU/USDT Spot and PENGUUSDT Perp!

The Word on the Street

Powell: The Fed has no intention of holding Bitcoin.
There’s ongoing debate about whether the incoming Trump administration will establish Bitcoin reserves. However, Federal Reserve Chairman Jerome Powell stated that the Fed has no intention of holding Bitcoin. At the FOMC post-meeting press conference, Powell said, “We are not allowed to hold Bitcoin.” Regarding the legal issue of holding Bitcoin, Powell added, “That’s something for Congress to consider, but we have no intention of seeking a change in the law.”

Project Funding

The high-performance Ethereum Layer 2 network, Fuel, announced the launch of its FUEL airdrop with a total supply of 1 billion tokens. 20% of the FUEL supply will go to the Fuel community:

• Genesis Drop: 10% total.
• 5% for community expansion across partner platforms.
• 5% for undisclosed incentives, plans, activities, and activations.

FUEL tokens from the Genesis Drop will be available for claim from December 19, 2024, to January 19, 2025.