By Shikha Singh
Ethereum ETF staking yield likely to be approved under crypto-friendly ‘Trump 2.0’ SEC, Bernstein says.
Analysts at Bernstein suggest that the incoming Trump administration may soon approve Ethereum’s (ETH) staking yields for spot Ethereum ETFs, thereby reigniting interest in ETH. Since Trump’s election, ETH has outperformed Bitcoin and Solana, rising 46% compared to their 41% and 36%, respectively. However, ETH has underperformed year-to-date, up 57% compared to Bitcoin’s 125% and Solana’s 122%, due to challenges as a store of value and competition from faster blockchains like Solana.
Despite this, Bernstein sees a favorable risk-reward for ETH, citing four growth catalysts: potential staking yield approval for ETFs, Ethereum’s transition to proof-of-stake, strong ETF inflows, and increasing blockchain activity.
Altcoins Drive Crypto Market Cap to All-Time High Above $3.6 tn.
The total cryptocurrency market capitalization reached an all-time high of $3.65 trillion on December 2, 2024, surpassing its previous peak from the 2021 bull market by nearly $600 billion.
$1.2 trillion in new investments in November drove this surge, with Bitcoin gaining 40% in November alone, largely due to Donald Trump’s victory in the presidential election.
Altcoins saw significant gains over the weekend, with Ethereum hitting a six-month high of $3,750 and XRP reaching a six-year high of $2.48, making it the third-largest digital asset by market cap.
Other notable movers include Cardano, Avalanche, Stellar Lumens, Hedera, and Litecoin.
Bitcoin Miner Argo Blockchain Secures £4.2 mn Lifeline as Mining Margins Shrink.
Argo Blockchain, a publicly listed Bitcoin miner, raised £4.2 million ($5.3 million) through a share subscription, issuing 76.9 million new shares to an institutional investor.
The funds will support strategic initiatives, including relocating mining equipment from Texas, maintaining operations in Quebec, and expanding into high-performance computing (HPC).
Argo is shifting focus to HPC and AI, aiming to tap into growing demand in the sector.
Despite Bitcoin’s recent price surge, Argo reported a pretax loss of $38.8 million in 2024, and its shares have dropped over 70% since the start of the year.
Other miners, including Bitfarms and Marathon, also faced challenges in Q3 2024.
Crypto Bull Run Continues as South Korea Pushes Back Taxation.
Park Chan-dae, the leader of South Korea’s Democratic Party, has agreed to postpone cryptocurrency taxation for two more years, citing the need for additional regulatory changes before enacting tax measures.
The crypto community has responded to this decision with optimism, fueling the ongoing market rally. Bitcoin is currently trading near $96K, contributing to a broader market value of $3.4 trillion.
The delay in taxation aligns with a global trend of easing crypto tax policies, as seen in Russia, where new laws recognize Bitcoin as property and exempt cryptocurrency mining from VAT.
Australian Startup Unveils Stable Crypto Backed By Gold.
Australian startup The Digital Currency Reserve (TDCR) has launched GLO, a stable digital currency backed by tokenized real-world assets like Australian gold (AUS).
GLO aims to offer a secure, stable alternative to traditional volatile cryptocurrencies. TDCR plans to expand globally with country-specific coins tied to local reserves, allowing seamless international transactions and gold-backed asset redemption.
TDCR has expanded to countries including New Zealand, Japan, and South Korea and is exploring AI integration and blockchain interoperability.
Ethereum Whales Spend $188 mn, Eyeing $4,000 Price.
Large Ethereum holders (whales) have been rapidly accumulating ETH, purchasing over 51,450 tokens worth $188 million in just two days.
This surge in whale activity, along with a positive net flow (more ETH bought than sold), signals a potential bullish trend for Ethereum, with analysts predicting a possible price increase past $3,700 or even $4,000.
Retail investors are also showing increased interest, further boosting demand. Experts attribute this buying spree to optimism around Ethereum’s long-term growth, driven by its expanding ecosystem in DeFi and NFTs.
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