Crypto News: Market Update November 2024
November 2024 marked a historic month for the crypto market, experiencing record-breaking growth. This remarkable surge was fueled by Donald Trump’s election victory and the announcement of pro-crypto leaders within his upcoming administration. The anticipation of favorable regulations and fresh momentum for the crypto industry ignited unprecedented excitement in the markets, sparking a renewed sense of hope and optimism among investors worldwide.
November 1: U.S. job growth stalls due to storms and Boeing strike
In October, only 12,000 jobs were added in the U.S., marking the slowest growth since 2020. This was attributed to the Boeing strike (-44,000 jobs) and hurricanes in the Southeast. Unemployment remained steady at 4.1%. Previous job creation figures were revised downward by 112,000. Sectors like healthcare saw growth, while manufacturing and temporary help services experienced job losses. The weak numbers are fueling expectations for an interest rate cut by the Federal Reserve at its next decision on November 7. (Source: CNBC)
November 5: Trump’s Victory Fuels Optimism in the Crypto Market
Donald Trump’s election victory is being viewed as a positive development for the crypto sector. Bitcoin surged to a record high of $75,000 following his win. Trump has pledged to end the “anti-crypto crusade,” replace SEC Chair Gary Gensler, and clarify regulations surrounding cryptocurrencies. Alongside a potential strategic bitcoin reserve plan and incentives for the U.S. bitcoin mining sector, the market is abuzz with optimism. Experts anticipate further price increases but caution investors to remain critical when evaluating projects. (Source: Investopedia)
November 7: Federal Reserve Cuts Interest Rates to Support the Economy
The Federal Reserve has lowered interest rates again, this time by 0.25%, bringing the target range to 4.50%-4.75%. This marks the second consecutive rate cut, aimed at supporting the economy as inflation eases and the labor market shows signs of slowing. Fed Chair Jerome Powell emphasized that this move is a “recalibration” toward a more neutral policy stance.
The Fed aims to strike a balance between economic growth and inflation control amidst uncertainty about future actions. Expectations suggest a potential further rate cut in December. Meanwhile, the labor market remains stable despite recent disruptions, including strikes and storms. Inflation, with a core rate of 2.7%, remains above the 2% target. (Source: Reuters)
November 12: Bitcoin Surpasses Silver in Market Value, Confirming Its Status as a Mainstream Financial Asset
Bitcoin has reached a new milestone with a market value of $1.8 trillion, surpassing silver and securing the eighth position globally in terms of market capitalization. This followed a price increase to $93,318, marking a 39.5% growth since a recent dip.
Key drivers behind this rally include record inflows into Bitcoin ETFs, such as BlackRock’s iShares Bitcoin Trust, which now manages more assets than gold ETFs. Bitcoin ETFs are expected to surpass gold ETFs in size within two months, boosting confidence in Bitcoin as an established financial asset.
Although retail activity is increasing, it remains below the levels seen during the 2021 bull run, indicating there is room for further growth in adoption. (Source: CryptoSlate)
November 13: October Inflation at 2.6%, In Line with Expectations
The Consumer Price Index (CPI) increased by 0.2% in October, bringing annual inflation to 2.6%, fully in line with forecasts. Core inflation was 3.3% year-over-year. Housing costs continued to be a major driver, rising by 0.4% in October and 4.9% year-over-year.
The market responded positively with rising stocks and falling bond yields, while the likelihood of a Fed rate cut in December increased. President-elect Trump’s plans for tariffs and government spending could further impact economic prospects and inflation. (Source: CNBC)
November 21: XRP Rises Sharply Following Departure of SEC Chair Gary Gensler
XRP surged 25% on Friday to $1.37 following the news that SEC Chair Gary Gensler will step down on January 20. XRP has already risen by 65.7% this week.
Gensler’s strict approach led to a legal battle between the SEC and Ripple over the status of XRP. A previous court ruling determined that XRP’s programmatic sales are not securities, but an appeal by the SEC created new uncertainty.
With Gensler’s departure, the likelihood of a settlement or dismissal of the case increases, which could further boost XRP’s market value. Bitcoin also rose, approaching $100,000, fueled by optimism about more crypto-friendly regulations under the new leadership. (Source: CryptoNews)
November 27: U.S. Economy Remains Stable in Early Fourth Quarter; Inflation Stays Above Fed’s Target
In October, consumer spending increased by 0.4%, indicating that the economy is maintaining solid growth in the fourth quarter. However, efforts to reduce inflation have recently stalled, with core PCE prices rising by 0.3% month-over-month and 2.8% year-over-year—above the Fed’s 2% target.
New jobless claims fell by 2,000 to 213,000, while orders for core capital goods slightly decreased by 0.2%. The Fed is expected to implement a third rate cut in December, but inflation and potential import tariffs under President-elect Trump could limit room for future rate cuts. Analysts suggest that the Fed may pause rate cuts in early 2025 to assess policy changes and the economic impact under the new administration. (Source: Reuters)
November 30: Highest Monthly Value Ever for Bitcoin
In November 2024, Bitcoin reached a milestone by achieving its highest monthly closing price ever. With a record close of $96,400 at the end of the month, the digital currency surpassed its previous highest closing in March 2024, solidifying its status as an increasingly important financial asset. This remarkable price increase underscores the growing acceptance and confidence in Bitcoin, both among retail and institutional investors, as it continues to establish itself as a key player in global financial markets. (Source: Brave New Coin)
Conclusion
The impressive performance of the crypto market in November, highlighted by Bitcoin’s record high, marks a new phase in the acceptance and growth of digital currencies. Trump’s election victory and his plans to implement pro-crypto policies have opened the doors to a thriving crypto sector in 2025. This provides investors and the industry with the opportunity to benefit from a more favorable regulatory environment and continued market growth in the years to come.
