I. Attention Value - Market Highlights
1. Market Trends
(1) Macroeconomic Environment:
l Fidelity Digital Assets Forecast: More Countries to Adopt Bitcoin as Strategic Reserves by 2025
Fidelity Digital Assets' latest research report indicates that more countries are expected to incorporate Bitcoin into their national strategic reserves by 2025, a trend that will drive the development of the cryptocurrency market. The report, authored by analyst Matt Hogan, was released on January 7th and is titled "Outlook 2025". Hogan mentioned that an increasing number of countries, central banks, sovereign wealth funds, and government finance departments will seek to establish strategic positions in Bitcoin. Furthermore, Hogan stated that not incorporating Bitcoin into strategic reserves may pose greater risks, especially in the context of worsening inflation, currency devaluation, and fiscal deficits. He also mentioned that if the US continues to pursue its Bitcoin reserve strategy, other countries may begin to secretly accumulate Bitcoin, as publicly announcing such a plan could attract more buyers and drive up the price.
(2) Web3 Sector:
l Strong US Employment Data Dampens Rate Cut Expectations, Crypto Market Experiences Volatile Fluctuations
Data released on Tuesday showed a strong US job market and accelerating service sector inflation, significantly dampening expectations of a Federal Reserve rate cut. Market analysts believe the Fed may only raise rates once in 2025, lower than the two hikes previously projected in the dot plot. Following the data release, the three major US stock indices fell across the board, and the cryptocurrency market also experienced violent fluctuations. Bitcoin plummeted after the US stock market opened, dropping from above $100,000 to $96,181, a decline of over 4.8% in 24 hours. Although it recovered somewhat in the morning, the overall downward trend has not been reversed. Ethereum and other Altcoins performed even worse, with most coins dropping more than 10%, reflecting a clear market sentiment of low morale. Additionally, Bitcoin spot ETFs saw a net outflow of $544 million on Tuesday, the largest net outflow in nearly 10 days, reflecting market concerns about the future economic outlook and uncertainty about the Federal Reserve's policy direction.
2. Hot Events
(1) Macroeconomic Environment:
l Musk Supports Bitcoin Advocate Poilievre, Canadian Political Situation Draws Attention
Recently, Elon Musk has praised Pierre Poilievre, the Canadian prime ministerial candidate who supports Bitcoin, following Musk's consecutive attacks on European politicians. Musk retweeted a video of Poilievre, in which Poilievre expressed that the best way to address inflation is to reduce government spending, and Musk responded: "Perfect articulation." As the leader of the Conservative Party of Canada, Poilievre is running for prime minister, with the current Prime Minister Justin Trudeau announcing his plan to resign on Monday. Polls show that Canadian voters are particularly concerned about the cost of living. Poilievre has long been a supporter of Bitcoin, appearing on various cryptocurrency podcasts and expressing his vision of making Canada the "global blockchain capital". As early as 2022, he stated that Canadians should have the right to use Bitcoin and other currencies, as the government is "destroying" the Canadian dollar. On the prediction market Polymarket, Poilievre's chances of winning the prime ministership are considered to be as high as 89%, far exceeding the second-ranked Chrystia Freeland.
(2) Web3 Sector:
l Bitcoin Corporate Adoption Enters a New Phase: Public Companies Follow in MicroStrategy's Footsteps
As interest in digital assets continues to rise, Bitcoin corporate adoption has entered a new phase, with more and more public companies beginning to follow in the footsteps of MicroStrategy and incorporate Bitcoin into their balance sheets. In 2024, companies such as Metaplanet, Semler Scientific, and MARA Holdings have all adopted Bitcoin financial strategies. KULR Technology Group became the first company in the second wave to list on the NYSE.
As of January 7th, some listed companies have announced Bitcoin financial strategies, but have not yet made actual purchases. For example, Acurx Pharmaceuticals and Hoth Therapeutics have both approved their respective Bitcoin acquisition plans. LQR House has announced that it will accept cryptocurrency payments and hold up to $10 million in Bitcoin payment funds. SOS Limited has also approved a $50 million Bitcoin purchase plan. These companies' adoption of Bitcoin reflects the market's recognition of it as an asset, and also demonstrates their strategic adjustments in addressing inflation and liquidity needs.
3. Hot Narratives
l BIO Protocol Launches Six New IP Tokens Covering Frontier Medical and Technology Fields
BIO Protocol announced on January 7 that six brand new IP tokens have officially launched for trading, covering various cutting-edge medical and technological fields, including Alzheimer's (CLAW), industrial hemp fiber (HEMPY), ovarian aging (OVARIA), and cryopreservation (CRYORAT). Alzheimer's (CLAW): The project utilizes the cat's claw vine from the Amazon rainforest to develop Percepta®, which is based on the PTI-777 extract from the cat's claw vine and has been shown to penetrate the blood-brain barrier. Research has shown that the anthocyanin B2 extracted from PTI-777 significantly reduced plaque load in the brains of mice and improved hippocampus-dependent memory. Percepta® has been launched as a memory support dietary supplement, but there is currently no human clinical data to support the preclinical research results. The project will conduct in vitro and clinical studies to measure the efficacy of Percepta® in humans. Industrial Hemp Fiber (HEMPY): Hempy collaborated with Professor Georg Gübitz of the Austrian Centre of Industrial Biotechnology (ACIB) to develop an innovative process for modifying hemp fibers to make them more suitable for textile applications. These improvements include making the fibers smoother, more flexible, and water-resistant. The project will release research updates in February 2025, two years after the start of development. Ovarian Aging (OVARIA): The project aims to study the role of the cGAS-STING pathway and cellular senescence in ovarian aging, focusing on developing treatments to prevent the loss of ovarian reserve during the aging process and improve ovarian reserve in patients with DOR and those undergoing chemotherapy. Cryopreservation (CRYORAT): CRYORAT is a two-year research program aimed at preserving and reviving entire mice at extremely low temperatures. Throughout the project, gradual attempts will be made to achieve whole-body cryogenic revival.
