After weeks of bearish sentiment, crypto markets showed signs of recovery. Flat trading helped assets find support levels, while the end of the U.S. government shutdown provided relief. Still, macro uncertainty around interest rates and trade policy kept investor sentiment cautious.
Market Highlights
- Bitwise Solana Staking ETF: Attracted US$545 million inflows in its first week.
- JPMorgan ETH exposure: 13F filings revealed ownership of 2 million Bitmine shares, indirectly tied to ETH holdings.
- Metaplanet: Borrowed US$100 million against BTC holdings to accumulate more bitcoin.
- Ripple: Raised US$500 million at a US$40 billion valuation, partnering with Mastercard and Gemini to use its stablecoin RLUSD for credit card settlement.
- Japan’s banks: Approved to trial a yen‑pegged stablecoin with rollout planned for March 2026.
Macro Overview
Markets remained volatile as traders awaited clarity on whether the Federal Reserve will cut rates at its December 10 meeting. Odds of a 25bps cut fell to 67%. The Reserve Bank of Australia and Bank of England held rates steady, while U.S. manufacturing PMI came in weak at 48.7. U.S. equities dropped: S&P 500 −1.6%, Dow −1.2%, Nasdaq −3.4%.
Bitcoin
BTC dipped below US$100,000 for the first time since May, hitting US$98,892 before recovering to US$105,500. Investment products saw US$932 million outflows. American Bitcoin added 139 BTC, Tether bought 971 BTC, and Metaplanet expanded its treasury to 30,823 BTC worth US$3.2 billion. Strategy’s STRE offering could raise US$715 million to fund further BTC purchases.
Ethereum
ETH fell to US$3,055 after the Balancer exploit but rebounded to US$3,500. Funds saw US$438 million outflows. BitMine added US$389 million worth of ETH, raising its holdings to 3.5 million ETH. JPMorgan’s indirect ETH exposure via Bitmine signaled growing institutional interest.
Altcoins
- Filecoin (FIL) surged 78.5% on strong trading volumes, Avalanche partnership, and a planned token burn.
- Internet Computer (ICP) rallied 77.3% after unveiling DFINITY 2.0, cutting inflation by 70%.
- Uniswap (UNI) gained 68.9% on plans for fee sharing and token burns.
- Artificial Superintelligence Alliance (FET) rose 64.1% after filing a class action against OceanDAO.
- XRP gained 8.9% on Ripple’s funding and partnerships.
- Chainlink (LINK) rose 4.2% after deals with Dinari and FTSE Russell.
- ai16z (AI) fell 23.3% amid rebrand to ElizaOS and exchange delistings.
ETFs and Institutional Moves
Digital asset products saw US$1.2 billion outflows overall, though Solana ETFs bucked the trend with US$118.4 million inflows. Bitwise advanced its Dogecoin ETF filing, while U.S. Treasury guidance allowed staking rewards in ETFs.
Other Developments
- Japan’s banks trial yen‑stablecoin, with expansion to USD tokens possible.
- Blockchain Payments Consortium formed by Fireblocks, Polygon, Solana, Stellar, TON, Mysten, and Monad to standardize cross‑network stablecoin payments.
- Bank of England preparing stablecoin regulation by early 2026.
- Canada drafting fiat‑backed stablecoin legislation.
- France passed a 1% wealth tax on crypto holdings over €2 million.
Key Takeaways
- Crypto resilience: Markets stabilized after dipping below key support levels.
- Institutional adoption: ETFs, bank trials, and corporate treasury moves highlight growing mainstream integration.
- Altcoin strength: Filecoin, ICP, and Uniswap led gains, while AI tokens lagged.
- Regulatory momentum: Stablecoin frameworks advancing globally, though France’s tax risks capital flight.
