KeyTakeaways:
Bitcoin achieved 123.4% YTD development, rating seventh globally by market cap. Ethena’s USDe surpassed DAI because the third largest stablecoin by market cap. Decentralized buying and selling volumes and DeFi TVL reached file highs in December 2024.
In Dec. 2024, the crypto market peaked at US$3.91 trillion, pushed by institutional investments and regulatory optimism. Bitcoin performed a essential function on this surge, hitting an all-time excessive of US$108,000.
The rally was fueled by information of MicroStrategy’s inclusion within the Nasdaq 100 and continued Bitcoin acquisitions. Nevertheless, the momentum slowed late within the month after the Federal Reserve adjusted its 2025 rate of interest cuts from 4 to 2, leading to a big market correction that erased over US$0.5 trillion from the crypto market cap.
Regardless of this setback, Bitcoin closed the yr with a 123.4% development in market capitalization, positioning it because the seventh-largest international asset, surpassing corporations like Saudi Aramco and Silver.
Among the many high 10 international belongings, Bitcoin was second solely to Nvidia when it comes to efficiency. Bitcoin’s Halving occasion spurred this development, financial coverage modifications, and the anticipation of a extra favorable regulatory atmosphere. Bitcoin may additional solidify its place among the many high international belongings in 2025 if these developments proceed.
Ethena’s USDe noticed a speedy rise within the stablecoin sector, reaching a market cap of US$5.9 billion by the tip of 2024, surpassing DAI because the third-largest stablecoin. This success is basically attributed to the excessive yields provided by staked USDe and the addition of sUSDe as collateral on Aave, a decentralized lending platform.
With this development, USDe is now positioned as a number one participant within the decentralized finance (DeFi) ecosystem.
December additionally marked a transfer for decentralized finance, with decentralized spot and perpetual buying and selling volumes hitting all-time highs of US$326 billion and US$356 billion, respectively. The yr noticed a 370% surge in decentralized perpetual buying and selling volumes, pushed largely by platforms like Hyperliquid.
Moreover, decentralized lending and liquid staking protocols achieved file whole worth locked (TVL) figures of US$55 billion and US$71 billion, respectively. This speedy development suggests a promising future for the DeFi sector, significantly with expectations of a pro-crypto administration within the U.S.
