Reports. 

The last few months have been a reality check for markets as trade policy roils global markets. Bitcoin fell back below $80k during the quarter, with volatility back on the menu as the second Trump admin heads straight for a trade war with nearly every one of its major trade partners.

The past two years have challenged the traditional altseason playbook. Liquidity is increasingly concentrated in Bitcoin and a select few altcoins, regulations are evolving, and Bitcoin’s growing adoption as a treasury asset further complicates the landscape. Looking ahead, altseasons may become a thing of the past, necessitating a more nuanced categorization beyond just ‘altcoins,’ as correlations in returns, growth factors, and liquidity among crypto assets are diverging significantly over time.

Bitcoin’s environmental impact has long been used as a stick with which to beat the industry, our Bitcoin Carbon Index combats that by investing in Carbon Credit futures.

The final quarter of 2024 brought significant changes to the cryptocurrency market. In October, the U.S. SEC sued crypto market maker Cumberland DRIW, while Kraken launched its Layer 2 Ink on Optimism’s Superchain. November saw Bitcoin hit a new all-time high and Gary Gensler announce his resignation. December highlights included Bitcoin surpassing $100K, Coincheck going public, and the SEC approving the first spot BTC-ETH combo ETFs. Despite volatility, institutional interest in Bitcoin remained strong, with increased corporate holdings and the launch of spot Bitcoin ETF options.

2024 marked a transformative year for the European cryptocurrency market with euro-denominated trade volumes surging to a multi-year high in November. Exchanges catering to the region capitalized on this growth, listing a record number of Euro-denominated trading pairs to meet growing demand.

The past few months in financial markets have been punctuated by short periods of volatility. In August, crypto prices plunged as traders grappled with shifting macroeconomic conditions around the globe. Despite the intermittent volatility and the typical lower volumes over the summer months, there were some bright spots. Altcoins gained traction towards the end of the quarter as liquidity conditions improved. Meanwhile, BTC ETFs’ trade volumes and inflows remained robust amid market uncertainty and large liquidations.