NFTs In Frenzy, Bitcoin Stagnates: The Big Upheaval Of Altcoins

In a context of increased volatility in the crypto market, Bitcoin is experiencing a phase of consolidation after nearly reaching $100,000. Meanwhile, the stablecoin sector is hitting historical highs, and the NFT market is seeing a spectacular resurgence.

BTC in a phase of consolidation after a new record

All eyes are on the Bitcoin that is taking a pause after nearly reaching $100,000 last week on major exchange platforms. The flagship crypto asset has pulled back to around $91,000, recording a 9% correction that remains moderate considering its meteoric rise since the beginning of the year.

This consolidation occurs as American markets slow down for Thanksgiving celebrations, a period traditionally marked by a decrease in volatility. James Toledano, operations director at Unity Wallet, views it mainly as technical profit-taking, reminding us that “significant corrections often follow periods of exponential gains.”

Despite this pullback, fundamentals remain strong with growing institutional interest and favorable regulatory developments, particularly the recent pro-crypto positions from the U.S. Treasury. Google searches related to Bitcoin have reached new highs post-elections, reflecting a resurgence of public interest.

The crypto ecosystem flourishes beyond Bitcoin

The NFT market is experiencing a remarkable renaissance with an average 28% increase in the floor price of the top 100 collections since early November. Some collections have even recorded spectacular gains of up to 146%, according to data from Drunken Monkey Members Club.

In the stablecoin sector, total capitalization reached a new record of $190 billion in November, surpassing the previous highs before the collapse of TerraUSD. Tether (USDT) still dominates the market with a market cap of $135 billion, while USD Coin (USDC) has risen by 11% to reach $38 billion.

Altcoins are not left behind, with Solana (SOL) hitting a new record at $264, driven by massive adoption with 6.2 million daily active addresses. This market diversification, coupled with the emergence of new protocols like Sui, suggests a gradual maturation of the crypto ecosystem, well beyond just Bitcoin.

In conclusion, while Bitcoin catches its breath after its vertiginous ascent, the crypto ecosystem as a whole demonstrates remarkable vitality. This market phase reflects an industry in full maturation, where technological innovation and institutional adoption come together to shape the future of digital finance.