Amid Revolutionary Announcements, Technological Advancements, and Regulatory Turbulence, the Crypto Ecosystem Continues to Prove That It Is Both a Territory of Limitless Innovations and a Battleground of Regulatory and Economic Disputes

Diplômé de Sciences Po Toulouse et titulaire d'une certification consultant blockchain délivrée par Alyra, j'ai rejoint l'aventure Cointribune en 2019.

Bitcoin price experienced a moderate increase of 9% over the past week, while its dominance over the cryptocurrency market declined slightly from 62% to 59% in 48 hours. This decrease may pave the way for a potential “altseason,” where altcoins — such as Stellar (XLM), Ripple (XRP), VeChain (VET), and Polkadot (DOT) — could outperform Bitcoin in performance.

The narrative surrounding Bitcoin's scarcity and role as an inflation hedge was further reinforced by statements from influential figures like Elon Musk, Larry Fink, and even Donald Trump, who expressed support for the cryptocurrency ecosystem. This support could favor a shift towards alternative cryptos.

Meanwhile, Ethereum's inflation soared to 0.35%, reaching a total supply of 120.4 million ETH. This increase was largely driven by the Dencun upgrade, which introduced proto-danksharding and other mechanisms to enhance data availability and reduce base fees.

Despite the burn of 45,022 ETH, the issuance of 78,676 new tokens contributed to a net surplus of 30,000 ETH. This dynamic raised questions about the long-term viability of Ethereum's monetary policy, especially in competition with other altcoins.

In the face of accelerating cryptocurrency adoption, Binance is ramping up its efforts to prepare for a future Bull Run. The exchange plans to increase its compliance staff by 34% by the end of 2024, reaching 645 employees.

Binance will also strengthen its risk management team, which is already nearly complete with 137 of the 138 members planned. This strategic move aims to meet the growing requirements of international regulations while protecting the 240 million users of the platform against emerging risks.

Despite regulatory challenges imposed by authorities like the SEC, Binance shows exemplary resilience, betting on quality and expertise to maintain the highest security standards and support sustainable growth in the crypto industry.

Bitcoin price showed impressive momentum, recently reaching $98,500 after a 45% jump since early November. Although fluctuations persist, projections remain optimistic: BTC could cross the $100,000 mark with a 95% probability before December 31, according to Kalshi, a prediction market.

Some go even further, estimating a 13% chance that it could reach $150,000 before the end of 2024. If these forecasts come to fruition, Bitcoin's market capitalization would exceed $2.5 trillion, up from $1.95 trillion currently (+42% since November). However, market volatility, with rapid increases and frequent corrections, prompts traders to oscillate between euphoria and caution.

Solana (SOL) price reached a new historic high of $264.31 on November 22, reflecting an 11% increase in 24 hours. This progress comes two years after the collapse of FTX, which heavily impacted SOL's price.

Solana price recently surpassed Ethereum in transaction volume on decentralized exchanges (DEX), thanks to its efficiency and low costs. Key factors for this surge include technological innovations, strategic partnerships, and growing adoption by developers and investors.

Additionally, the possible approval of a Solana ETF by the SEC could further amplify this positive momentum.

Gary Gensler, SEC chairman since April 2021, will leave his post on January 20, 2025. His tenure has been marked by strict crypto regulations and major financial reforms, such as improving American Treasury markets and updating the national market system for stocks.

Gensler's approach, often perceived as stifling innovation in the cryptocurrency sector, has drawn criticism from industry players. This departure, partly anticipated by Donald Trump’s election, opens the door for a possible direction more favorable to cryptos. Markets are reacting positively, hoping for more lenient regulation under the new administration.

Here is the essence to remember for this week. But if you would like a more detailed recap and in-depth analysis directly in your inbox, feel free to subscribe to our weekly newsletter.

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