The cryptocurrency market faced a consecutive lose day by day this week, with a total liquidation of $404 million within 24 hours and even more. Bitcoin (BTC) dropped 3%, trading at $93,300, while Ethereum (ETH) slid 3.4% to $3,270. Other major tokens like XRP and Solana (SOL) also declined by 2.2% and 6%, respectively, pushing the overall crypto market capitalization down 4.2% to $3.34 trillion.

Key Insights: 

• Bill Barhydt, CEO of Abra, commented that Bitcoin could experience a choppy, range-bound market, potentially causing doubt among long-term holders. He predicts that if the Federal Reserve signals a shift towards Quantitative Easing (QE) by March, it could spark an altcoin season, with Bitcoin potentially reaching $200,000, Sui $20, and Solana $500.
• Starpower Raises $2.5M in funding during the week: Starpower, a decentralized energy network startup, secured $2.5 million in its latest funding round, bringing its total capital raised to $4 million. The round was led by Framework Ventures, with participation from Solana Ventures and Bitscale Capital. This investment highlights the increasing focus on decentralized physical infrastructure networks (DePIN), aimed at enhancing scalability and efficiency in energy distribution.
• Financial Advisors Increase Crypto Allocations Post-Election: A recent survey by Bitwise Asset Management and VettaFi reveals a growing trend among financial advisors adopting crypto investments. Key findings include: 22% of advisors allocated crypto to client portfolios in 2024, up from 11% in 2023, 96% reported client inquiries about crypto investments, 56% are more likely to invest post-election, 71% favor ETFs for crypto exposure.

These insights suggest a rising bullish sentiment towards digital assets among institutional advisors.

• SEED Secures Investment from Sui Foundation for Web3 Gaming Expansion: SEED, a Web3 gaming ecosystem, has received strategic investment from the Sui Foundation to build a next-gen on-chain gaming platform targeting 100 million users. SEED focuses on overcoming common industry challenges such as complex onboarding and shallow gameplay by integrating immersive experiences with true on-chain features. Already boasting over 60 million users, SEED’s collaboration with Sui aims to set a new benchmark for sustainable blockchain gaming.
• BlackRock’s BUIDL Token Deployed for Yield Strategies: BlackRock’s tokenized treasury product, BUIDL, was recently used as collateral in a basis trade through QCP, yielding an impressive 18% APY, showcasing how tokenized assets can be leveraged for enhanced yield strategies in the DeFi space.
• Liquidations Surge as Crypto Markets Decline Further: Crypto liquidations exceeded $655 million after another market downturn. Bitcoin fell 4% to $93,000, while Ethereum dropped 6% to $3,200, driven by broader macroeconomic concerns and investor caution.

This week underscored the volatility of the crypto market, with major liquidations and declining prices. However, rising institutional interest, innovative projects like SEED, and successful funding rounds from Starpower hint at a maturing market. Stay tuned as we continue to monitor key trends and opportunities in the evolving blockchain landscape.