CRYPTO NEWS NOVEMBER 25, 2024: SANDBOX LEADS ALTCOIN SURGE

Tags: crypto

The crypto market witnessed significant developments on the morning of November 25, 2024. From the shutdown of Heco Chain to the strong resurgence of XRP, SAND, DOGE, and the broader altcoin market, several noteworthy events unfolded. Here’s a breakdown:

1. HECO CHAIN OFFICIALLY SHUTS DOWN

The most shocking news today is the official announcement of the closure of Heco Chain, a decentralized blockchain project developed by the HTX exchange.

Huobi's L1 blockchain HECO Network announced that it will officially retire on January 15, 2025 (UTC), and the HRC20 assets held by users will be exchanged for HTX. Huobi ecosystem Chain Heco was officially launched on December 10, 2020. https://t.co/q58haLpPUE

— Wu Blockchain (@WuBlockchain) November 24, 2024

Heco was previously supported by several reputable DeFi projects like LendHub and MDEX. Its shutdown has understandably caused concern among investors.

However, HTX has outlined a compensation plan for users: Holders of HRC20 assets need to send them to a designated address before January 10, 2025, to receive points, which will then be exchanged for $HTX tokens. For example, an investor holding 1000 USDT on Heco will receive 1000 points, subsequently convertible to $HTX at a rate of 1 point = 200,000 $HTX.

While complex, this process aims to minimize user losses. This serves as a costly lesson regarding the risks of investing in smaller blockchain projects competing with giants like Binance Smart Chain or Solana.

2. $470 MILLION IN CRYPTO LIQUIDATIONS: BITCOIN FALLS, ALTCOINS RISE

Bitcoin’s failure to break the $100,000 mark triggered the largest liquidation event in over six months, exceeding $470 million in the past 24 hours. Notably, altcoins accounted for the majority of liquidations, while Bitcoin and Ether experienced only minor impact. Dogecoin, XRP, and Stellar were among the hardest-hit altcoins.

[Liquidation Heatmap for November 25, 2024]

Many analysts attribute this to investors from the 2020-2021 cycle returning and reinvesting in familiar tokens. This highlights the market’s volatility and inherent risks for investors.

3. SANDBOX LEADS METAVERSE REVIVAL: SAND UP 130%

Metaverse cryptocurrencies are experiencing a strong resurgence, with SAND (The Sandbox) leading the charge with a 130% increase. MANA (Decentraland) also saw significant gains, reaching 85%. This price surge occurred despite Bitcoin’s decline, suggesting a potential altcoin rally. However, this growth may not be sustainable in the short term, as RSI indicators suggest overbought conditions.

4. DOGECOIN SURGES, AT ONE POINT SURPASSING RIPPLE (XRP) IN MARKET CAP

Dogecoin is experiencing a significant price surge, briefly surpassing XRP to become the sixth-largest cryptocurrency by market capitalization. Elon Musk’s involvement in the Trump administration is widely considered the primary driver, although no evidence suggests the administration will utilize Dogecoin. Nevertheless, Musk’s mentions of Dogecoin have captured significant investor attention.

Analysts offer varying Dogecoin price predictions, some forecasting $3 or even $10, based on technical models and market trends. However, these predictions are highly speculative and depend on factors like widespread adoption, technological development, and overall market trends. Investors should exercise extreme caution regarding these ambitious projections.

5. XRP EXPLODES: A SPECTACULAR COMEBACK?

XRP, Ripple’s cryptocurrency, is also experiencing a significant price surge, exceeding $1 after years of struggles due to its legal battle with the SEC. Donald Trump’s presidential election victory is viewed as a major contributing factor. Trump’s promise to change crypto policies, coupled with a new SEC chair, is expected to lead to a swift resolution of the Ripple lawsuit.

However, caution is warranted regarding this rapid growth. While XRP has increased nearly 200% in the past month, this growth is likely unsustainable. Some market indicators show investor sentiment cooling. Price corrections following such substantial gains are entirely possible.

6. NFT SALES REACH RECORD $158 MILLION: SOLANA EMERGES AS A PHENOMENON

Beyond the crypto market, the NFT market also saw robust growth, with weekly sales reaching $158 million – a slight decrease from the previous week but significantly higher than early November. Ethereum and Bitcoin still lead in revenue, but Solana impressed with a significant surge in buyer numbers, up 57.99%. This demonstrates Solana’s potential in the NFT sector.

The diverse range of blockchains participating in the NFT market reflects the NFT ecosystem’s overall development.

Blockchain	Revenue (USD)	% Change from Previous Week	Notes
Ethereum	49,000,000	-25.9%	Remains the leading blockchain
Bitcoin	43,000,000	-29%	Significant revenue decline
Solana	23,900,000	Strong Growth in Users	Strong growth in user numbers
Polygon, Mythos, Immutable, BNB Chain	35,800,000		Significant contributors to total revenue

7. DONALD TRUMP APPOINTS CRYPTO-FRIENDLY OFFICIALS

Donald Trump’s appointment of several crypto-friendly figures to leadership positions in his new administration is sparking debate. Many see this as a positive sign for the crypto industry, promising a more open regulatory environment. However, concerns remain regarding potential conflicts of interest and the creation of a “crypto lobby” within the administration.

Notable appointees include Scott Bessent (Secretary of the Treasury), Howard Lutnick (Secretary of Commerce), Elon Musk and Vivek Ramaswamy (Government Productivity Division – DOGE).

8. BINANCE ATTRACTS RECORD $8.73 BILLION INFLOW: DOMINANCE UNWAVERING

Binance, the world’s largest crypto exchange, recorded a record $8.73 billion inflow in November 2024. This demonstrates investor confidence in Binance, despite increasingly stringent global regulations. Binance has successfully diversified its services, offering various investment options from staking to institutional asset management, attracting both individual and institutional investors.

However, Binance still faces regulatory challenges, particularly in the US. Its future success hinges on adapting to these regulations and competing effectively with market rivals.

9. SOUTH KOREA STRENGTHENS SURVEILLANCE OF ILLEGAL CRYPTO TRANSACTIONS

South Korea recently announced it will strengthen surveillance of illegal crypto transactions, particularly following the theft of 58 billion won ($41.5 million) in crypto by North Korean hackers. The South Korean government is focusing on integrating the crypto market with the traditional financial system and protecting investors.

10. FIFA LICENSES BLOCKCHAIN-BASED MOBILE GAME: WEB3 PENETRATES SPORTS

FIFA and Mythical Games partnered to release FIFA Rivals, a free-to-play football game for iOS and Android. Built on the Mythos blockchain and the Polkadot network, it allows players to trade football stars as NFTs.

Mythical Games’ CEO predicts FIFA Rivals could attract over 100 million players to the Web3 space. This is a significant step, marking the growing integration of blockchain technology into the gaming and sports industries.