Market updates are crucial for making informed financial decisions, as fluctuations across global markets and the cryptocurrency sector can impact investment strategies. This week has been particularly challenging, with notable shifts observed in various markets.
### US Market Weekly Update
The US market saw a significant downturn this week, with the S&P 500 index dropping by 2.02% to $5,930.84. Other major markets, including Europe (-2.04%), China (-0.65%), Japan, India, South Africa, and Australia, also experienced declines.
Key developments in the US market included the Federal Reserve’s decision to cut interest rates by 25 basis points, bringing it to 4.25%-4.5%. Despite this, GDP growth improved slightly from 3% in Q2 to 3.1% in Q3. Jobless claims decreased from 224K to 220K, while core inflation fell to 0.1% in November.
Economic indicators presented mixed results, with the NY Empire State Manufacturing Index dropping sharply, while the S&P Global Composite PMI Flash rose in December. Retail sales and industrial production showed declines, while housing data remained weak.
The US dollar gained ground against major currencies, including the Euro, Chinese Yuan, Japanese Yen, and Indian Rupee.
### Crypto Market Performance This Week
The cryptocurrency market cap fell by 8.2% this week, with the altcoin market cap dropping from $1.55T to $1.39T. Excluding Bitcoin and Ethereum, the market cap declined to $969.31B. Cryptocurrencies outside the top ten also saw a sharp drop in market cap.
### Bitcoin Market Overview
Bitcoin faced significant challenges this week, with the price dropping from $106,058.18 on Monday to a low of $92,198.03 on Friday. Despite a brief recovery, Bitcoin closed the week at $97,812.27, marking a 7.77% decline.
### Ethereum Market Scenario Analysis
Ethereum also struggled this week, with the price dropping from $3,988.87 on December 16 to a low of $3,108.75 on December 20. Despite a rebound, Ethereum closed the week at $3,471.16, with a weekly performance decline of 12.97%.
### Top Cryptos: Weekly Performance Highlights
Most top cryptocurrencies posted losses this week, with Dogecoin, Cardano, Solana, Ethereum, Bitcoin, XRP, and BNB all experiencing declines.
### Trending This Week
Binance HODLer Airdrops, Circle Ventures Portfolio, Binance Launchpool, Binance Labs Portfolio, and Coinbase Ventures Portfolio were the top five trending categories this week. Among these, Binance HODLer Airdrops showed the highest seven-day change of +181.3%.
Hyperliquid, LUKSO, Pudgy Penguins, Ethena, and Sui were the top five trending cryptos, with Hyperliquid showcasing the highest seven-day change of 54.6%.
### Crypto Category Overview
In the last seven days, several crypto categories saw declines, including Smart Contract Platform, Layer 1, Proof of Work, Proof of Stake, Decentralised Finance, Meme, Liquid Staking, and more. Stablecoins and Perpetuals showed resilience, with growth observed in these categories.
### A Challenging Week for Markets – Can It Bounce Back?
Despite the challenges faced by global markets and the cryptocurrency sector this week, there is always the potential for a bounce back. Stay informed with breaking news and expert analysis to navigate the dynamic landscape of financial markets effectively.