I. Attention Value - Market Highlights
1. Market Situation
(1) Macroeconomic Environment:
l Trump Appoints David Sacks as White House Responsible for AI and Cryptocurrency Affairs
On December 6, Trump announced the appointment of PayPal co-founder David Sacks as the White House responsible for AI and cryptocurrency affairs. In the statement, Trump said that Sacks will work to establish a legal framework to meet the cryptocurrency industry's need for clarity, thereby promoting its development in the United States.
David Sacks is a South African-American entrepreneur and investor with over 25 years of successful business experience. He is a general partner of the Craft Ventures venture capital fund. Public information shows that Craft Ventures has invested in crypto projects including dYdX, Lightning Labs (a Lightning Network developer), River Financial (a Bitcoin financial services provider), and Handshake (a decentralized domain name and certificate authority).
Sacks' appointment is seen as a continuation of Trump's support for the cryptocurrency industry, suggesting that there may be more policies in the future that tend to relax regulation of the industry. In this new role, Sacks will be at the forefront of how the federal government adopts and regulates AI technology. As AI technology develops rapidly and is widely used by consumers, this field brings many benefits but also raises concerns about national security, privacy, and employment. Sacks' work will have a significant impact on the government's policymaking in these critical technology areas.
(2) Web3 Sector:
l BTC Experiences Violent Liquidation Cascade, Causing Mass Liquidations
Around 6:30 AM Beijing time on December 6, BTC experienced violent fluctuations after reaching a new all-time high of nearly $104,000, with the price quickly dropping to around $91,000, leading to large-scale liquidations in the market. According to Coinglass data, in the past 24 hours, about 210,000 investors were liquidated, with a total liquidation amount of $720 million, of which $615 million were long positions and $104 million were short positions. The liquidation amount for BTC contracts alone reached $447 million. Currently, the BTC price has rebounded to $98,000. This price spike did not affect other Altcoins. In addition, data shows that the funding rate of Binance BTC USDT perpetual contracts reached a record high of 0.0724% in this bull market, but has since recovered to 0.0161% in the early morning rapid decline.
2. Hot Events
(1) Macroeconomic Environment:
l Investors Focus on the Potential Impact of US Nonfarm Payroll Data on the BTC Market
Investors are currently closely watching the upcoming release of the US nonfarm payroll data on December 6 Eastern Time, which could affect the Federal Reserve's monetary policy and further impact the BTC market. According to Bitfinex derivatives head Jag Kooner, the market generally expects the November nonfarm payroll data to be positive. If the data is strong, the Federal Reserve may slow the pace of rate cuts, which would lead to a stronger US dollar and put some pressure on risk assets including BTC. Nevertheless, the market still expects the Federal Reserve to cut rates by 25 basis points at the December meeting, with data from the Chicago Mercantile Exchange showing a probability of over 70%. Lower interest rates usually stimulate market liquidity and provide support for risk assets, which could have a positive impact on the BTC price.
(2) Web3 Sector:
l The Financial Times' Alphaville Issues an Apology Letter: Reflecting on Negative Coverage of Cryptocurrencies
The Alphaville column of the Financial Times published an "apology letter" on December 5, in response to its negative coverage of cryptocurrencies over the past 14 years. The letter stated that with BTC price breaking $100,000, many readers felt they deserved an apology.
"Our content may have conveyed that Bitcoin is a negative-sum game, inefficient as a medium of exchange, and its price unrelated to any real utility. We deeply regret if our cynical attitude over the past 14 years caused you to miss investment opportunities, and we are also happy for your holdings to have appreciated. If you felt we were supporting traditional finance, we apologize for that too, as we are equally critical of traditional finance."
However, this apology has not been well received by the crypto community, with many seeing it as a "fake apology". Commentators pointed out that Alphaville still maintains its skepticism towards BTC and reiterated its views on BTC's inefficiency as a medium of exchange and its flaws as a store of value.
3. Hot Narratives
l New Crypto Market Trends: AI Agents and Decentralized Science (DeSci) Leading the 2024 Narrative Tide
On December 6, DWF Labs co-founder Andrei Grachev posted on social media: "AI agents and DeSci seem to be the next hot topics in the market." He emphasized that both are community-driven, scalable, and aligned with the global hype around AI and technology. Grachev believes these emerging fields can be launched anywhere without relying on venture capital, making them more flexible and promising.
As AI technology develops rapidly, market attention on its applications is increasing, especially in the cryptocurrency and blockchain sectors. DeSci, as an emerging trend, aims to use blockchain technology to improve the transparency and accessibility of scientific research. Grachev's comments reflect an optimistic attitude towards the future development of these fields, believing they may attract more investors and developers.
Furthermore, according to the Messari Theses 2024 report released by Messari, analysts are also optimistic about the prospects of the integration of AI and cryptocurrencies, believing that this will be one of the important investment trends in the future. The report mentions that emerging narratives such as DePIN, DeSoc and DeSci are gaining more and more attention, indicating that the market will usher in new growth points.
II. Attention Value - Hotspot Projects
1. Project Introduction
l $GOD | AI agent | @god
- GOD has introduced the anti-agent SATAN through Nous Research, and user participation has increased significantly. This dynamic pairing seems to have reignited the interest of users and investors, and ordinary people are also full of expectations for it, so it is necessary to closely monitor its future development.
III. Attention Value - Sector Rotation
1. Hot Sectors
Source: Dune, Dot Labs
Source: Dune, Dot Labs
2. Sector Rotation
Source: Dune, Dot Labs
