1. Bitcoin Price Stalls Amid Anticipation of U.S. Inflation Data
Bitcoin’s recent rally has paused as investors await the release of December’s U.S. Consumer Price Index (CPI) report. The cryptocurrency has seen a 40% increase since early November, reaching approximately $96,910. This surge is partly attributed to President-elect Donald Trump’s favorable stance towards digital currencies.
However, concerns are mounting that the Federal Reserve may maintain higher interest rates if inflation remains elevated, potentially impacting crypto markets.
The CPI data is expected to influence the Fed’s monetary policy decisions, which could affect investor appetite for riskier assets like cryptocurrencies. Other digital assets have shown mixed movements, with XRP experiencing significant gains amid legal developments, while Ether and Solana have seen slight declines.
2. North Korean Hackers Linked to Over $650 Million in Crypto Thefts in 2024
A joint statement by the U.S., Japan, and South Korea has attributed significant cryptocurrency heists, totaling over $650 million in 2024, to North Korean hacking groups. Notable incidents include a $235 million theft from India’s WazirX and a $308 million theft from Japan’s DMM Bitcoin, leading to the latter’s closure.
The notorious Lazarus Group is believed to be behind these sophisticated attacks, employing methods such as social engineering and phishing, where attackers posed as prospective employers or business opportunities.
The FBI has warned crypto businesses to remain vigilant against such tactics and to avoid inadvertently hiring North Korean IT workers.
3. U.S. Court Demands SEC Clarify Stance on Coinbase’s Request for Crypto Regulations
The U.S. Court of Appeals has ordered the Securities and Exchange Commission (SEC) to provide a detailed explanation for denying Coinbase’s petition for specific cryptocurrency regulations. This development highlights the ongoing need for clearer guidelines in the rapidly evolving crypto industry.
Coinbase has been advocating for regulatory clarity to ensure compliance and foster innovation within the sector. The court’s demand underscores the importance of transparent regulatory frameworks to support the growth and legitimacy of digital assets.
4. Investors Lend Billions at 0% Interest to MicroStrategy for Bitcoin Purchases
MicroStrategy has successfully raised $2.6 billion through 0% convertible bonds to acquire more Bitcoin, reflecting strong investor confidence in the cryptocurrency’s potential appreciation.
Convertible bonds offer potential gains if traded for equity, providing bonds’ safety and stocks’ upside. Investors are betting on MicroStrategy’s substantial Bitcoin holdings and the possibility of significant returns if Bitcoin’s value continues to rise. This strategy highlights the growing intersection between traditional financial instruments and the crypto market.
5. Bitcoin Lags Behind Ethereum and Dogecoin in Sustainability Efforts
Despite industry moves towards eco-friendly practices, Bitcoin’s energy consumption remains high compared to Ethereum and Dogecoin, both of which have transitioned to less energy-intensive networks.
Ethereum’s shift to a proof-of-stake model in 2022 and Dogecoin’s similar move in 2024 have significantly reduced their energy usage by over 99.9%. In contrast, Bitcoin continues to rely on the energy-intensive proof-of-work network, consuming about 169.70 terawatt-hours annually, more than Poland’s total energy consumption.
This high energy demand results in significant carbon emissions, equating to driving a gasoline-powered car between 1,600 and 2,600 kilometers per transaction. Efforts by the industry to use renewable energy sources for mining are ongoing, but without a shift to a proof-of-stake model, Bitcoin’s high energy usage is expected to persist.
6. XRP Reaches Record High Amid Positive Developments in SEC vs. Ripple Case
XRP’s price has reached a new all-time high of $2.90, representing a 6.7% increase over the past 24 hours. This surge is linked to investor speculation about a favorable outcome in the SEC’s appeal against Ripple. The SEC originally sued Ripple in 2020 over allegations of offering an unregistered security.
Despite a judge’s ruling in August 2024 for Ripple to pay a $125 million fine—significantly less than the SEC’s $2 billion demand—the SEC appealed the decision, with their opening brief expected soon.
Ripple’s Chief Legal Officer optimistically announced an end to the SEC’s strict stance on crypto with the upcoming leadership change. In contrast, other cryptocurrencies showed minor movements, with Bitcoin remaining stable at $96,622 and Ether slightly down by 0.7% to $3,190.
7. Analysts Predict Bitcoin Could Reach $400,000 Under Trump Administration
With the inauguration of President-elect Donald Trump approaching, financial and crypto analysts are forecasting a significant impact on the cryptocurrency market, particularly Bitcoin.
Experts believe that pro-crypto policies under the Trump administration could act as a catalyst for Bitcoin’s unprecedented growth, potentially driving its value to $400,000 by the end of 2025.
The anticipated policies are expected to include tax benefits for blockchain startups, leniency in crypto regulations, and a push for mainstream adoption of digital currencies.
Market dynamics, such as the upcoming Bitcoin halving event in 2024, which will reduce the reward for mining new blocks by half, decreasing the supply of new Bitcoin entering the market, are also expected to play a role in this prediction.
Institutional investors are showing increased interest, with major firms expressing confidence in Bitcoin as a hedge against inflation and a viable long-term investment.
Despite the optimism, analysts caution that the prediction of $400,000 is contingent upon the successful implementation of the anticipated policies, as well as broader economic conditions.
8. Text Scammers Steal $2.2 Million in Crypto Through Fake Job Offers
A scam involving fraudulent job offers has led to the theft of $2.2 million in cryptocurrency, prompting warnings from authorities. Scammers have been blasting out bogus job offers via text messages, luring victims into providing personal information and accessing their crypto wallets.
The scheme has been described as a “never-ending nightmare” for those affected.
Authorities are urging individuals to be cautious of unsolicited job offers and to verify the legitimacy of any employment opportunities before sharing personal information or engaging in financial transactions.
9. 2025 Poised to Be the Year of Altcoins, Analysts Suggest
Market analysts are predicting that 2025 will be a pivotal year for alternative cryptocurrencies (altcoins), as the crypto ecosystem continues to evolve.
The growing interest in altcoins is driven by a variety of factors, including the maturing market for Bitcoin and Ethereum, the upcoming Bitcoin halving, and increased institutional investment in diverse blockchain projects.
Altcoins such as Solana, Cardano, and Polkadot have shown potential for significant growth due to their focus on scalability, energy efficiency, and decentralized finance (DeFi) applications.
Moreover, the rise of new projects addressing real-world use cases, such as supply chain management and data security, has captured investor attention. Market analysts anticipate that as these altcoins gain adoption, they could outperform Bitcoin and Ethereum in terms of percentage growth. However, experts caution that the altcoin market remains volatile, and thorough research is essential before investing in lesser-known projects.
10. Brevan Howard’s Crypto Hedge Fund Achieves 51% Gain in 2024
Brevan Howard’s digital assets fund has reported an impressive 51.3% gain for 2024, showcasing the growing profitability and mainstream acceptance of cryptocurrency investments.
This gain is attributed to strategic investments in emerging blockchain technologies, DeFi platforms, and promising altcoins that delivered substantial returns throughout the year.
The fund’s success highlights the increasing sophistication of institutional investment strategies within the crypto sector.
Brevan Howard’s team of analysts has been leveraging market trends, such as the adoption of layer-2 solutions and the shift towards eco-friendly blockchain networks, to capitalize on new opportunities.
The hedge fund’s performance underscores the potential of cryptocurrency as a viable asset class for long-term growth.
Analysts believe that as institutional participation continues to grow, the crypto market will become more stable and accessible to traditional investors, further driving global adoption.
