In the crypto market report covering the week of November 4 – 11, prepared by the ICRYPEX Research team, we compiled current developments regarding crypto assets, price movements of crypto assets and macroeconomics.
You can take a look at the general flow of this report below, and access all the developments that took place in the 7-day period in the Weekly Crypto Market Reports: November 4, 2024.
Overview of the Weekly Crypto Market Report for November 4
In the week when the election and the Fed meeting will perhaps determine the course of the whole year, Donald Trump, who is expected to support the crypto money ecosystem more in the elections, won, and then the Fed cut interest rates by 25 basis points to the range of 4.50% – 4.75%.
Of course, cryptocurrencies passed the week when the election process was more effective, while Bitcoin managed to rise above $ 81,000 by renewing its ATH level every day except Saturday from Wednesday. In this process, the total market capitalization managed to rise from 2.20T levels to 2.70T band with the positive movement of both Bitcoin and altcoins. Ethereum, on the other hand, entered the election day below $ 2400 and finished the week at $ 3,180, rising 35% from the bottom. While Bitcoin dominance fell to 59% after seeing the level of 60.50%, very strong movements were seen in altcoins, especially in memecoins, DeFi projects and Layer-1s.
With the conclusion of the election, it is expected that an even more positive process for cryptocurrencies will begin and the adoption of cryptocurrencies globally and in the USA will accelerate even more. Although a regulation vote will already take place in the parliament and this vote is considered positive for cryptocurrencies, news sites state that they have heard that FIT’21 may be rejected and a new and more inclusive regulation can be prepared.
SEC Chairman Gary Gensler is also expected to be dismissed, replaced by a cryptocurrency-friendly name, and the new SEC management is expected to pave the way for many products such as altcoin ETFs. Therefore, Trump’s victory in the elections was received very positively in terms of cryptocurrencies in the short-medium-long term, and this positivity is expected to continue further.
Returning to the macroeconomic outlook, the Fed’s rate cut was the most important topic of the past week. Although the fear of whether the FED will react according to the election results caused a little uneasiness on the markets, the FED provided relief by cutting interest rates. Powell’s statement that he would not leave his post even if Trump asked for his resignation and his positive assessments of the economy were also welcomed. Apart from the US, China’s announcement of a support package helped the positive pricing seen over the weekend, while the interest rate cut from the UK was the other important headlines of the past week.
When we look at this week’s macroeconomic calendar, the inflation data from the US seems to be the most important development of the week. Apart from this, inflation and growth data from the European region, growth data from Japan and economic indicators from China will be important for the markets. Apart from these data, the speeches of the FED members may also carry important signals about the direction of the markets and their expectations at the December meeting. The support of global data for the “Strong Dollar” period, which was entered with the arrival of Trump, will also be very decisive for the future.
Turning to fund inflows, Spot Bitcoin and Ethereum ETFs saw large inflows. Bitcoin ETFs saw $116 million on Tuesday, election day, and $700 million in 3 days before the election, while $2.1 billion inflows occurred in the last 3 days of the week. Thursday’s inflow of $1.3 billion was the highest in a day on Bitcoin ETFs launched on Jan. 10. Ethereum ETFs, on the other hand, saw inflows of $216 million as of Wednesday.
Those who want to get more comprehensive information about the week covering November 4– 11 can review the Weekly Crypto Market Reports: October 4, 2024.
