Crypto Markets Today will go on hiatus for a while starting Wednesday. We will be back on January 5 with your regular trading update and market analysis. I wish you and yours a wonderful holiday season!
It’s another day of risk aversion in the cryptocurrency market, with Cardano-based Midnight Network’s governance token NIGHT falling 22% in 24 hours, making it the worst performer among the top 100 tokens by market value.
While the reason for the liquidation is unclear, it is not the only one trading in the red. Non-serious token PUMP fell 13% and MNT, XMR and ZEC each fell as much as 8%.
bitcoin The largest cryptocurrency by market value, fell back below $88,000 after failing to establish a foothold above the $90,000 resistance level on Monday.
Volatility could increase later on Tuesday following the release of third-quarter US GDP, which is likely to show the economy remained strong in the three months through September.
Derivatives positioning
- The accumulated open interest (OI) in globally traded BTC futures has remained unchanged at around 670,000 BTC for over a week. In the last 24 hours, it fell slightly, indicating a continued lack of participation in the leveraged markets.
- Participation in SOL futures is increasing, as indicated by the rally in OI to 58.75 million SOL, the highest since October 10.
- The OI in XRP futures rose by 1.28%, while that of ETH fell by 1.7%.
- Perpetual funding rates for most major cryptocurrencies remain positive, although only slightly, indicating a slight bias towards bullish bets. BCH and LINK stand out with negative rates.
- On the CME, BTC futures open interest continues to decline alongside weak demand for spot ETFs, a sign of waning institutional interest in carry trades.
- On Deribit, biases on BTC and ETH options strengthened after BTC failed to sustain gains above $90,000.
- Looking beyond December, positioning appears bearish, with $80,000 the most popular option in January expiry options.
- Regarding block flows, bottlenecks and crossings accumulate 35% of the total in the last 24 hours. Buyers of these strategies are essentially positioning themselves for volatility.
- In the case of ETH, call spreads have dominated block flows.
symbolic talk
- Only a small fraction of crypto tokens introduced in 2025 are still worth more than they were at their debut, an analysis of 118 tokens shows.
- According to Memento Research, only 15% are trading above their token generation event (TGE) valuation. The average token is down approximately 71% in fully diluted value (FDV) and 66% in market cap.
- The biggest losses came from the tokens with the highest initial valuations. Among the 28 tokens with an initial FDV of $1 billion or more, none are above water, with the group showing an average decline of 81%.
- Big-name releases dragged the average down. The FDV-weighted performance shows a 61.5% drop, much worse than the 33.3% drop for an equally weighted basket.
- Infrastructure, decentralized finance, and AI-linked tokens dominated TGE counts, and their performance was generally negative. Perpetual DEXs were the standouts, helped by strong performances from platforms like Hyperliquid and Aster.
