Welcome to our December 2024 Monthly Crypto Market Recap!
The Federal Reserve made another quarter-point interest rate cut this month, bringing the rate to between 4.25% and 4.5%. While this marks the third rate cut of the year, the Fed has signaled that inflation remains a concern, projecting two additional rate cuts for 2025. The Fed’s cautious outlook indicates that inflation is likely to persist longer than expected, with the 2% target now anticipated to be reached only in 2026. Despite this, the U.S. economy has shown resilience, with steady consumer spending and low unemployment, suggesting that a soft landing is still achievable. The Fed’s policies aim to manage the balance between preventing overheating and addressing ongoing inflation pressures.
In China, the government is preparing to tackle its ongoing economic challenges by issuing a record $411 billion in special treasury bonds in 2025. The funds will target boosting domestic consumption, upgrading business infrastructure, and supporting innovation-driven sectors like electric vehicles and semiconductors. Alongside this, the government is working to stabilize the property and equity markets through increased fiscal support, including more local government bond issuance. However, confidence remains fragile as the economy continues to face deflationary pressures, with slowed credit expansion and weak consumer demand. The People’s Bank of China is expected to implement further easing measures in 2025 to stimulate growth, signaling a more flexible approach to managing the country’s economic challenges in the coming year.
In Crypto, the market experienced significant volatility this month, with Bitcoin (BTC) reaching an all-time high (ATH) of $108K before swiftly retracing to a low of around $92K. This dramatic fluctuation underscores the ongoing uncertainty and price swings within the crypto space, despite sustained institutional interest.
Hyperliquid’s airdrop, launched at the end of last month, proved to be a historic success, with the project’s token soaring to more than 10 times its TGE price, peaking at nearly $35. This surge temporarily pushed Hyperliquid into the top 20 by market capitalization, signaling strong community engagement and growing platform adoption.
Meanwhile, in traditional finance, MicroStrategy’s inclusion in the Nasdaq 100 index further illustrates the increasing interest from TradFi institutions in the crypto market, signaling potential mainstream integration and the growing legitimacy of crypto assets in established financial markets.
Join us as we delve into the crypto market of December and uncover the catalysts that fueled the month’s leading performers. Get ahead with our comprehensive monthly market recaps at TRHX Research and receive real-time updates from TRHX Pulse. Stay informed and ready to navigate the ever-evolving crypto landscape!
Bitget Token (BGB) ⏶405.40%
Bitget Token (BGB) is the native cryptocurrency of the Bitget exchange, built on the Ethereum Blockchain (ERC20). It serves as a utility token within the platform, offering benefits like fee reductions and airdrops for traders. As the exchange grows, the use cases for BGB expands, supporting the broader cryptocurrency ecosystem.
BGB’s strong performance this month is closely linked to Bitget’s strategic partnerships, particularly with TRON and SunPump. On December 24th, Bitget announced its collaboration with TRON, acquiring $10 million in TRX and expanding the TRON blockchain ecosystem. This partnership aims to enhance TRON’s global network by supporting decentralized finance (DeFi) and other blockchain applications. Additionally, Bitget’s partnership with SunPump, a platform focused on meme coin projects, aims to foster TRON’s emerging meme coin ecosystem by offering expedited listings and post-launch marketing. These collaborations are expected to drive blockchain adoption and increase the utility of BGB within the growing ecosystem. Following the news, BGB’s price surged from below $4 to a peak of nearly $8 by the end of the month, reflecting strong investor sentiment and optimism surrounding the partnerships.
Another exciting development for Bitget is the merger of Bitget Wallet Token (BWB) into Bitget Token (BGB), announced on December 26th. This move aims to unify both tokens into a single ecosystem token for the centralized Bitget Exchange and the decentralized Bitget Wallet. The new BGB will power key features, such as Fair Launchpool and multi-chain gas fee payments, across most on-chain scenarios. It will also integrate with public chains and decentralized finance (DeFi) ecosystems, positioning itself as a core staking asset for lending and staking protocols. The merger will not impact the total supply of BGB, with an exchange rate of approximately 11.68 BWB to 1 BGB. Following the announcement, BGB saw a price increase of nearly 25% in just 24 hours, standing out as one of the few major cryptocurrencies to gain amidst a market-wide decline. This merger also paves the way for the expanded use of BGB in both on-chain and offline applications, including payments for everyday activities such as dining and travel.
Hyperliquid (HYPE) ⏶213.33%
Hyperliquid (HYPE) is the leading decentralized exchange (DEX) for perpetual futures, consistently ranking first in trading volume over the past year. Designed for high-frequency traders, it offers low-latency trading, a familiar UI, and a robust infrastructure that sets it apart in the DeFi space. HYPE is Hyperliquid’s native token.
This month, HYPE gained significant traction following its Token Generation Event (TGE) and airdrop. The absence of initial raises or private funding rounds created a constrained supply, driving substantial demand as venture funds and institutional investors purchased tokens directly from the market. Hyperliquid’s unique distribution likely contributed to the strong price performance post-launch. Additionally, market participants are bullish on Hyperliquid’s planned EVM integration, which is expected to expand its ecosystem and utility.
Looking ahead, Hyperliquid’s position as the number one perp DEX provides a solid foundation for growth. The anticipated EVM compatibility could drive further adoption by enabling broader access to DeFi applications. With its strong trading volumes and user-focused developments, Hyperliquid is well-positioned to maintain its dominance in the sector.
Tokenize Xchange (TKX) ⏶156.18%
Tokenize Xchange, a Singapore-based cryptocurrency exchange, stands out in the bustling crypto landscape. Offering trading for over 60 cryptocurrencies, including its native token TKX, it provides a robust platform for traders.
TKX has made significant strides in community engagement and brand visibility this month through a series of high-profile events. The Pengu Christmas Party in Malaysia, tied to the PENGU token airdrop, showcased TKX’s strategic marketing prowess, drawing attention to the exchange while fostering excitement around the Pudgy Penguin community. To boost this event, they introduced gamified events like “Catch the Pudgy Penguin” which further amplified engagement, offering direct rewards to participants and enhancing user interest in TKX’s ecosystem.
The exchange further showcased its dedication to fostering regional and global collaborations by co-hosting the 2024 Wrapped-Web3 Edition Appreciation Banquet in Singapore, a prominent event that celebrated the year’s advancements in blockchain and decentralized finance. In Taiwan, the exchange hosted a Web3 Networking Night, which served as a vibrant platform for DeFi enthusiasts, developers, and investors to exchange ideas, forge partnerships, and explore emerging trends. All of these trends brought significant attention to TKX as an exchange catering to a diverse range of investors, solidifying its appeal as a reliable exchange worth investing in.
Virtual Protocol (VIRTUAL) ⏶102.20%
Virtual Protocol is pioneering the co-ownership layer for AI agents in gaming and entertainment. By leveraging blockchain technology, the protocol facilitates the tokenization and co-ownership of these AI agents, making them accessible and investable like any other productive asset. The VIRTUAL token underpins the economy of Virtual AI Agents, being used as the source of routing currency, governance, liquidity pairing, and participation within the ecosystem. It ensures that users can seamlessly co-own and interact with these AI agents while fostering a decentralized and scalable model for co-ownership. Through this integration, Virtual Protocol is unlocking new dimensions of engagement and monetization in the AI-driven gaming and entertainment industries.
Several developments contributed to the price appreciation of Virtual tokens this month, the first being the launch of Agent Sandbox on December 11th, which provides a versatile simulation environment for developing autonomous agents. This platform allows builders to fully customize their agents’ personalities, goals, and functionalities, including advanced capabilities like on-chain trading, meme generation, and controlling physical robots. By making these tools accessible to all developers with graduated agents, the Sandbox fosters innovation and increases engagement within the ecosystem, driving demand for the VIRTUAL token. Virtual protocol agents were also integrated into projects like Hyperpoblic labs, Longhash ventures, and Faraway, significantly boosting growth metrics, including Monthly Active Users (MAU), engagement rates, and the VIRTUAL token price. These collaborations expanded the protocol’s ecosystem by enhancing visibility, fostering developer innovation, and driving adoption across gaming and blockchain platforms.
Looking ahead, Virtual Protocol is poised for continued growth as it expands its ecosystem, introduces more innovative use cases for its AI agents, and strengthens partnerships across the gaming, entertainment, and blockchain sectors. With its focus on enhancing user engagement and co-ownership opportunities, the protocol aims to solidify its position as a leader in decentralized AI applications. As adoption increases and new capabilities are unveiled, the VIRTUAL token is expected to play an even greater role in driving the ecosystem’s economy, fostering sustained demand and innovation.
Hedera (HBAR) ⏶63.25%
Hedera Hashgraph (HBAR) is a Layer-1 network designed to facilitate transactions and application deployment through a consortium of businesses overseeing the platform. This network employs unique design choices with restricted participation of approved nodes that enable rapid transaction finality and reduced potential for transaction state changes. Hedera Hashgraph employs a patented algorithm called Hashgraph, where nodes constantly communicate to process transactions efficiently whereby the speed of verifying transactions goes up as more transactions are added to the network. The network is governed by the Hedera Governing Council, featuring prominent companies such as IBM and Alphabet, to manage software, allocate funds, and ensure legal compliance. The HBAR token is integral in this ecosystem, enabling transactions for participants and applications within the Hedera network.
The majority of HBAR’s gains this month can be attributed to a ripple effect from the ETF application news announced at the end of November. Canary Capital’s filing for an HBAR ETF sparked significant investor interest, promising broader market exposure and institutional adoption.
The result of Canary Capital’s HBAR ETF application is still pending, and more regulatory clarity may emerge once Donald Trump takes office in January, which could provide further insights into the regulatory landscape for cryptocurrencies and influence HBAR’s market trajectory in the future.
Aave (Aave) ⏶52.96%
Aave (AAVE) is a leading decentralized finance (DeFi) protocol that facilitates non-custodial lending and borrowing of assets. Users can earn interest on their deposited cryptocurrencies or use them as collateral to borrow a range of supported altcoins and stablecoins. AAVE, the protocol’s native token, enables holders to participate in governance decisions and earn staking rewards. Aave was developed to meet the growing demand for decentralized financial markets and is one of the largest money markets on Ethereum.
The protocol has recently garnered significant interest due to major developments in their fundamentals. Aave continues to strengthen its position as the leading money market protocol, surpassing $34 billion in deposits and consistently ranking among the top DeFi protocols by revenue.
Specifically, a catalyst that stood out this month was Donald Trump’s World Liberty Financial (WLF) purchasing $2 million worth of AAVE, alongside other tokens. These strategic acquisitions have brought renewed attention to Aave, reflecting confidence in the ecosystem. For Aave, the bullish momentum aligns with the community’s approval of World Liberty Financial’s proposal to deploy an Aave instance.
Looking forward, Aave’s exploration of integrating Chainlink’s Smart Value Recapture (SVR) to redirect MEV fees to users could enhance its revenue-sharing model and boost user retention, which may further prompt upside price movements to its token.
Gate (GT) ⏶40.76%
Gate.io is a global crypto exchange which has launched GateChain, a public blockchain that facilitates digital asset transfers, and claims to be “dedicated to asset safety”. The network’s native token is GateToken (GT), which is used to pay transaction fees, but users can also stake it to validate transactions and secure the network in exchange for rewards.
In December, Gate Group’s acquisition of Coin Master Co., Ltd., now rebranded as Gate Japan K.K., marked a strategic milestone in its expansion into the regulated Japanese market. By aligning with local laws and the Financial Services Agency of Japan (FSA), Gate Group aims to provide a localized, compliant digital asset trading platform tailored to Japanese users, reinforcing its commitment to transparency and regulatory adherence. Gate’s acquisition reflects Japan’s growing importance as a key market for digital assets, and Gate Group’s investment positions it, leading to a jump in GT prices.
Additionally, Gate.io rebounded after hack rumors prompted temporary withdrawals and a 3.8% dip in GT to $11.91. The exchange swiftly debunked the claims, confirming full operational security and $10 billion in reserves. Gate’s proactive response, including assurances from leadership and external audits, restored market confidence, driving GT’s recovery to $13.68 with a 60% surge in trading volume.
Mantle (MNT) ⏶31.39%
Mantle Network is an advanced scaling solution for Ethereum, designed to enhance the ecosystem with EVM compatibility, allowing Ethereum-based contracts and tools to operate with minimal adjustments. Leveraging a modular architecture, Mantle combines optimistic rollups with data availability solutions, delivering a more cost-effective and accessible environment while maintaining Ethereum’s robust security. At the heart of this ecosystem is the native MNT token, which powers Mantle Network’s operations. The MNT token serves as both a governance and utility token within the Mantle ecosystem. As a governance token, MNT grants holders voting power in the Mantle Governance process. On the utility side, MNT is used to pay gas fees on the Mantle Network and acts as a key asset within the Mantle Rewards Station.
This month’s key catalysts for MNT’s growth include Mantle’s integration with Chainlink’s CCIP and its upgrade to a Type-1 zkEVM powered by SP1. CCIP enables cross-chain communication, attracting more developers and users to build dApps on Mantle’s scalable and cost-efficient platform, increasing demand for MNT for gas fees and ecosystem participation. The zkEVM upgrade positions Mantle as a leader in blockchain scalability and security, appealing to institutions and enterprises requiring fast finality and robust infrastructure. Coupled with reward programs that lock MNT tokens to unlock exclusive benefits, these advancements reduce selling pressure, boost adoption, and drive upward momentum for MNT’s price.
Mantle’s roadmap demonstrates a clear commitment to continuous innovation and scalability, positioning it as a leading Ethereum Layer-2 solution. By evolving from centralized to decentralized sequencing, integrating advanced data availability solutions like EigenDA, and upgrading its architecture to the OP Stack with Bedrock enhancements, Mantle is ensuring improved performance, security, and decentralization. Future implementations, such as permissionless sequencers and validity proofs, aim to provide greater compatibility and efficiency. These developments, coupled with its native MNT token’s integral role, pave the way for sustained growth, adoption, and market leadership in the blockchain space.
TRON (TRX) ⏶26.12%
Tron (TRX) is a decentralized blockchain platform designed to build and support a global digital content and entertainment ecosystem. Launched in 2017 by Justin Sun, Tron aims to provide a high-performance, scalable, and cost-effective infrastructure for decentralized applications and smart contracts. Tron’s native cryptocurrency, TRX, powers the network and is used for transactions, staking, and participating in the governance of the ecosystem.
While there have been no major developments in Tron recently, much of the attention surrounding the network in December can be attributed to high-profile actions by Justin Sun at the end of last month. On November 29, Sun created a media sensation by eating a $6.2 million banana artwork, “Comedian”, by Maurizio Cattelan, during a press conference in Hong Kong. This stunt sparked widespread interest and further solidified Sun’s persona in crypto space. Additionally, Sun made a significant move by purchasing $15 million worth of World Liberty Financial’s governance token (WLFI), which sparked speculation about potential future support for TRX from the U.S. government, particularly under the leadership of President-elect Donald Trump. This purchase, which granted Sun control of over half of WLFI’s circulating tokens, brought much-needed attention and raised questions about the involvement of Sun and Trump in the future of blockchain-based finance.
JasmyCoin (JASMY) ⏶18.28%
JasmyCoin (JASMY), is a cryptocurrency project of a Tokyo-based Internet of Things (IoT) provider Jasmy Corporation. As a system, the Internet of Things includes mechanical and digital elements endowed with an identifier and the ability to transmit data. The IoT company Jasmy specializes in buying and selling data, and the Jasmy platform connects two categories: service providers and data users.
This month, JasmyCoin gained momentum amid an ongoing altcoin rally, catalysts include heightened trading volumes, improved technical indicators, and bullish sentiment among holders, with 86% of investors in profit. JasmyCoin’s listing on Upbit also expanded its reach into the South Korean market, boosting liquidity and adoption.
Looking ahead, JasmyCoin’s focus on securing partnerships, such as its recent collaboration with a healthcare company exploring blockchain applications in cancer treatment, positions it for sustained growth. With its innovative IoT applications and expanding ecosystem, JasmyCoin remains a standout in the ongoing altcoin rally.
Closing Remarks
In December, the crypto market experienced volatility, but potential catalysts on the horizon could drive BTC higher in January. The upcoming inauguration of President-elect Donald Trump on January 20, 2025, is generating optimism in the cryptocurrency market due to his anticipated pro-crypto policies, such as plans for a national Bitcoin reserve and crypto-friendly regulatory appointments. Additionally, FTX’s repayment plan, set to begin early next year, promises to inject significant liquidity into the market, potentially boosting investor confidence. With up to $16.5 billion earmarked for repayment and the recovery of 98% of users’ original deposits, this development could drive renewed activity and sentiment in the crypto space.
However, challenges persist, including new IRS regulations requiring DeFi brokers to report transaction details, which could dampen enthusiasm. Furthermore, market speculation surrounding a potential MicroStrategy blackout period in 2025 raises uncertainty about its Bitcoin purchasing strategy.
As we approach the end of the year, we are closely monitoring these developments and hopeful for what the market may lead us going forward. Stay informed by following our in-depth analyses of the crypto landscape through TRHX Research and the TRHX Pulse Newsletter, where we will provide the latest updates.
Disclaimer
This publication is provided for informational and entertainment purposes only. Nothing contained in this publication constitutes financial advice, trading advice, or any other advice, nor does it constitute an offer to buy or sell securities or any other assets or participate in any particular trading strategy. This publication does not take into account your personal investment objectives, financial situation, or needs. TRHX does not warrant that the information provided in this publication is up-to-date or accurate.
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