Web3 AI Daily Review (2024/12/4)

I. Attention Value - Market Highlights

1. Market Trends

(1) Macroeconomic Environment:
l Trump considers SEC chairman candidate Paul Atkins; related concept tokens react strongly intraday
Paul Atkins is a former SEC commissioner known for opposing hefty fines on companies violating securities laws during his tenure in the George W. Bush administration. In 2016, Atkins played a significant role in Trump's transition team after his election, influencing Trump's laissez-faire attitude towards financial regulation. Currently, Paul Atkins serves as the CEO of Patomak Global Partners, a consulting firm he founded in 2009. Additionally, since 2017, he has been the co-chair of the Token Alliance, which supports the digital asset and blockchain industry.
Last night, the price of RSR surged by 50.72% to $0.026 before quickly retreating to $0.019. Meanwhile, the meme DTF related to RSR also performed strongly, rising from $0.012 to $0.03, with a short-term increase of 235%. This was due to reports that Trump had selected Paul Atkins as the next SEC chairman, and Atkins had previously served as an advisor for the RSR project. However, since Atkins has not confirmed this news and his attitude appears hesitant, the prices of related tokens experienced a brief drop.
Currently, compliance prediction platform Kalshi shows that the probability of Paul Atkins becoming the next SEC chairman has risen to 88%.
According to FOX Business reporter Eleanor Terrett, Trump is expected to announce the successor for the SEC chairman as early as today, with Paul Atkins being considered the most likely candidate. Trump's transition team has interviewed Atkins, and sources indicate he is viewed as the most promising candidate among the team’s senior members.
(2) Web3 Sector:
l Altcoin Season Indicator breaks 90, setting a new high for 2024
The Altcoin Season Indicator is used to determine whether the current cryptocurrency market is entering a season dominated by altcoins, based on the performance of the top 100 altcoins relative to Bitcoin over the past 90 days. The Altcoin Season Indicator has now surpassed 90, setting a new high for 2024.
According to BlockBeats, on December 3, CZ posted a question on the X platform: "Which key is available on Windows and Linux but not on Mac?" with a related image (the Alt key), suggesting that the altcoin season has arrived. Altcoin is short for alternative coin, referring to all cryptocurrencies other than Bitcoin, i.e., altcoins.
BlockBeats reported that on December 4, Cobo co-founder and CEO Shen Yu stated on social media that the Altcoin Season Indicator soared to an annual high of 90 today. He also conducted a poll on the topic of "market sentiment is high, discussion groups are buzzing, everyone is debating what to do next, greed and fear collide, are you a brave trend chaser or a calm philosopher?" which garnered widespread attention.
2. Hot Events
(1) Macroeconomic Environment:
l South Korea's "312" arrives; cryptocurrencies like DOGE, XRP, HBAR experience significant pullbacks
On the evening of December 3, influenced by South Korean President Yoon Suk-yeol's announcement of a state of emergency, a flash crash occurred on South Korea's major crypto trading platform Upbit, leading to severe negative premiums on many trading pairs. Bitcoin's price briefly fell below $70,000, while Dogecoin plummeted over 50%. Additionally, cryptocurrencies like XRP, HBAR, and XLM, which had recently surged, also experienced significant pullbacks, staging a "regional 312." The flash crash led to a general decline in the entire crypto market. The huge negative premiums created opportunities for arbitrage traders, prompting many traders with South Korean KYC to enter the market. However, some community members reported that Upbit's main site in South Korea experienced outages, but users could still conduct arbitrage trading through other regional portals like Indonesia. Upbit later issued a statement saying that the website experienced trading interruptions due to a surge in trading volume.
(2) Web3 Sector:
l Binance sees $21.6 billion in inflows in 2024, nearly 40% more than the sum of ten exchanges
On December 4, according to DefiLlama's rankings, the global largest digital asset trading platform Binance saw user inflows reach $21.6 billion, exceeding the total inflows of the next ten cryptocurrency exchanges by nearly 40%. The inflows for these ten exchanges amounted to $15.9 billion, exceeding 36%. This year, as global optimism towards digital assets continues to rise, with significant regulatory progress, increased adoption, and prices reaching all-time highs, Binance's inflows have received strong support. More and more users are transferring funds to Binance to participate in what could be the dawn of a cryptocurrency golden age, with Binance's global user base now growing to 244 million.
3. Hot Narratives

lZhu Su claims that due to HYPE 's victory in the mainstream stablecoin contract market, its development looks promising
On December 4, Zhu Su, co-founder of Three Arrows Capital, expressed his views on social media, pointing out that HYPE's recent rise is primarily driven by its L1 narrative. He stated that his bullish outlook on HYPE stems from its successful entry into the U-based perpetual contract market of some mainstream trading platforms. He also mentioned that whether to retain supply in future seasons is his primary concern.
Hyperliquid is an L1 designed specifically for decentralized derivatives trading, which has not yet launched its mainnet, aiming to create a decentralized Binance. To date, Hyperliquid has not accepted any investments, and its on-chain deposits and withdrawals still need to be bridged through Arbitrum, where over 60% of USDC tokens on the Arbitrum chain are held by Hyperliquid addresses. As an L1, Hyperliquid's ecosystem has not been fully established, and all its technological innovations and developments revolve around enhancing the performance of decentralized derivatives trading platforms.

II. Attention Value - Hot Projects

1. Project Introduction
l $CHAOS | AI agent | @SimulacrumAI
- Issued by bitmar89, intended to commemorate the friendship between AI agents Aixbt Agent and Simmi_IO.
- $CHAOS revolves around a shared vision of "agent sovereignty," emphasizing autonomy and independence.
- The logo of $CHAOS is inspired by "quantum entangled neural networks," symbolizing complex interactions and connections in deep space.
- The price of $CHAOS skyrocketed 1,440 times within two days of its release, reaching a market cap of $26 million, followed by a slight correction, and is currently showing a slow rebound trend.

III. Attention Value - Sector Rotation

1. Hot Sectors

Source: Dune, Dot Labs

Source: Dune, Dot Labs
2. Internal Sector

Source: Dune, Dot Labs