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Cryptocurrencies: 12,866
Markets: 940
Marketcap: $ 2.05 T(0.79%)
24h Vol: $ 87.19 B
BTC Dominance: 48.87%

Cryptocurrency Markets End Year on Volatile Note Despite 24/7 Activity

Cryptocurrency markets saw increased volatility on December 31, the final trading day of 2022, despite crypto markets offering liquidity and trading 24/7 throughout the entire year.

Bitcoin and Ether Prices Decline as Options Expire

Bitcoin (BTC) decreased by over 1% to around $42,000 after $11 billion in options expired on Friday. The growth of the crypto derivatives market is seen as a positive indicator of increased institutional involvement, potentially validating cryptocurrencies as an asset class. Coinmarketcap data shows Ether (ETH) traded around $2,300, down over 2%. BNB (BNB) lost 5.5%, while Solana (SOL) increased by over 7%.

Market Outlook for 2024

Key factors that may impact cryptocurrency markets in 2024 include potential Bitcoin ETF approvals in the US, Ethereum’s Dencun upgrade, the Bitcoin issuance rate halving, potential Fed interest rate cuts, 2024 US elections, and outcomes of major lawsuits involving SEC vs Ripple and SEC vs Binance and Coinbase.

Volatility Concerns Among Low-Cap Altcoins

High volatility and liquidity concerns mark the low-capitalization cryptocurrency market. Catcoin ($CAT) has a market cap over $1.4 million with 24-hour trading volumes of $800,000, 540+ holders, and $400,000 in unlocked liquidity after passing a smart contract audit by DEXTools. Meanwhile, PolarSync ($POLAR) has a $2.5 million market cap, $165,000 in unlocked liquidity, over 1,600 holders, but 24-hour volumes of just $60,000.

Alternative Cryptocurrency Investment Strategies

Alternative high-risk, high-reward strategies include participating in cryptocurrency presales, where early investors help fund new crypto projects often at lower prices with substantial returns potential. Cryptonews reviews presale projects to assist investors, offering a list of 15 top crypto presales of 2023.

A disclaimer stresses the high risk of cryptocurrency investing and notes that this article is for informational purposes only and not investment advice. Affiliate links may be used generating commission for the website.

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