Gate Research Institute: Mainstream Coins Recover Amid Volatility | Strategy Will Sell in Extreme Situations

Crypto Asset Overview

BTC (+1.86% | Current Price 91,052.7 USDT)

After forming a “deep V rebound” on the evening of December 7 and the early morning of December 8, BTC did not maintain its strength but instead oscillated back and forth in the $90,000–$91,700 range, forming a pattern very similar to a “door” structure. This is a typical corrective consolidation, with major funds possibly testing the resistance capacity of the $91,500-$92,000 overhead supply zone, while also facilitating turnover through repeated swings. On the moving averages, MA 5 has crossed below MA 10, resulting in a minor death cross in the short-term moving average system, indicating weak short-term rebound momentum. Overall, the current market is in a box consolidation phase under main fund control, and a directional breakout has not yet formed. If the price can break above $91,700 with volume and hold above $92,000 in the coming days, the market may return to a bullish trend; otherwise, it will continue to oscillate and digest chips.

ETH (+1.86% | Current Price 3,102.66 USDT)

Similar to BTC’s trend, ETH experienced a deep wick rebound last night, and then oscillated within about 50 points above and below the $3,100 line. Currently, it is in a slight death cross phase with MA 10 crossing above MA 5 in a consolidation stage. The price is above all three moving averages, but the short-term MA system hasn’t fully returned to a bullish alignment, putting the market into a post-rebound corrective phase. It is likely to continue consolidating in the $3,050–$3,150 range, awaiting a new breakout signal. Overall, it is difficult for ETH to develop an independent trend and it remains subject to BTC’s movements.

GT (0.39% | Current Price 10.29 USDT)

GT is oscillating in a narrow range between $10.1 and $10.3. From the chart structure, there have been two double bottom wicks, both times quickly recovering after dipping near $10.1, indicating strong buy support; there is repeated tug-of-war near $10.3, suggesting repeated overhead pressure. Overall, GT is in a post-drop sideways consolidation phase, tending toward a bottoming oscillation pattern. MA 5, MA 10, and MA 30 are almost overlapping, suggesting the market is waiting for a directional choice; currently, MA 5 is slightly turning up, indicating a short-term recovery in buying and a continued attempt to rebound. If it can cross above MA 10 and MA 30 to form a golden cross, it is expected to challenge the $10.4-$10.5 range, but this depends on BTC’s ability to continue its rebound.

Daily Token Gainers & Losers

In terms of overall market performance, major coins are experiencing low-volatility, modest gains, with BTC, ETH, BNB, XRP, SOL, etc., all mostly up +0.5%–+1.8%. Overall, the market is in a phase of blue-chip recovery, altcoin divergence, and cautious capital inflows. Risk appetite has slightly improved, but there hasn’t been a large-scale capital rotation yet. Whether alts can see broader rotation and gains still depends on whether BTC can break out with volume. However, some low-cap tokens have seen significant gains due to positive news, and the following analyzes the top gainers: FHE, GLMR, and LUCIC.

FHE Mind Network (+136.04%, Circulating Market Cap $9.6661M)

According to Gate market data, the FHE token is currently priced at $0.0387, up over 130% in 24 hours. Mind Network is a project focused on Fully Homomorphic Encryption (FHE), allowing computation and processing of data while it remains fully encrypted, without decryption, thus achieving true privacy protection. Main use cases include: AI Agents economy, Web3 privacy infrastructure, and quantum resistance.

The rise of FHE is inseparable from the market’s high enthusiasm for FHE technology. FHE enables direct computation on encrypted data, potentially solving pain points in AI agents and Web3 privacy. Competing projects like Zama’s FHE progress (e.g., sealed-bid auctions, upcoming mainnet) have also boosted sentiment for the whole sector. Mind Network - FHE’s low market cap + strong narrative fit have made it a direct beneficiary chased by capital.

GLMR Moonbeam Network (+43.8%, Circulating Market Cap $38.75M)

According to Gate market data, the GLMR token is currently priced at $0.03835, up over 40% in 24 hours. Moonbeam (GLMR) is an EVM-compatible parachain in the Polkadot ecosystem, essentially serving as the “Ethereum compatibility layer” on Polkadot. It allows developers to directly deploy Solidity smart contracts and use Ethereum tools (such as MetaMask, Web3.js) without code modifications, while enjoying Polkadot’s cross-chain interoperability and shared security.

GLMR’s rise is mainly a sentiment and speculation-driven rebound. With a low market cap and recently hitting or nearing historical lows, GLMR can be seen as a technical oversold rebound. In addition, Crypto Twitter has been flooded with GLMR pumping posts, trading signals, and profit-sharing, driving rapid influx of funds. Low circulating market cap + high volatility have led to a parabolic short-term rise, a classic small-cap speculation pattern.

LUCIC Lucidum Coin (+32.05%, Circulating Market Cap $43.34M)

According to Gate market data, the LUCIC token is currently priced at $0.2583, up over 30% in 24 hours. Lucidum Coin (LUCIC) is a meme coin based on BSC, emphasizing transparency, innovation, and ethical wealth creation. The project name comes from the Latin “Lucidum,” symbolizing clarity and integrity in Web3.

LUCIC’s rise is not driven by major news but by the recent recovery of BSC meme coin sentiment and community-driven support. The BSC meme sector has shown signs of mild recovery, and tokens like LUCIC, which have been active for a longer period and have relatively low market caps, have been recommended by various community lists. As LUCIC rebounded from its lows, it also appeared on several 24-hour climber leaderboards, further sparking retail FOMO.

Hotspot Analysis

Largest Corporate BTC Holder Strategy Admits Possibility of Selling BTC in Extreme Situations for the First Time

Strategy CEO Phong Le and co-founder Michael Saylor, in a recent interview, admitted for the first time that under extreme circumstances, the company may sell bitcoin. The condition is if MSTR’s stock price falls below BTC’s net asset value (mNAV < 1) and external financing through stock or bond issuance is unavailable, they would sell BTC. This contradicts Saylor’s long-held belief in never selling, and although this would be a last-resort corporate strategy, it still sparked market panic.

Strategy holds approximately 650,000 BTC, worth nearly $60 billion, making it the largest corporate holder in the world. Recently, due to market volatility, BTC fell from over $120,000 to $85,000, further dragging down MSTR’s stock price. The leveraged strategy (borrowing to buy bitcoin) amplifies risk, and mNAV briefly dipped below 1, causing panic. However, earlier this month, Strategy announced the establishment of a $1.44 billion cash reserve to cover 21 months of interest and preferred stock dividends (about $800 million needed annually), which somewhat reduces short-term selling pressure. If BTC enters a bear market, investors should closely monitor Strategy’s stock price, mNAV, and company announcements.

Base Network Launches SOL-Base Bridge, Draws Criticism from Solana Community

Base Network recently launched the Sol-Base Bridge, leveraging Chainlink’s Cross-Chain Interoperability Protocol and security infrastructure, allowing users to seamlessly transfer assets between Base and Solana, including SOL and SPL tokens. BaseScan shows that over 49,000 SOL, worth about $6.6 million, are now on Base Network.

The Base community views this as a milestone in multichain connectivity, but it has sparked opposition and controversy in the Solana community. Solana co-founder toly and other key figures publicly criticized Base, calling the bridge a “vampire attack” on Solana, i.e., technically extracting liquidity from the Solana ecosystem. Additionally, critics point out that the initially integrated applications, including Zora and Aerodrome, are all native to Base, with no Solana ecosystem involvement, implying one-sided benefit. Jesse, head of the Base protocol, stated the bridge was launched in response to developer demand, aiming to allow Solana assets access to the Base economy and vice versa, emphasizing it is a two-way collaboration rather than competition. Essentially, in the current market environment with low sentiment and liquidity, this is not a technical issue but a matter of community trust and market share between chains.

Monad Development Below Expectations, Daily DEX Volume Drops 70%

Monad, a high-performance Layer 1 blockchain promising 10,000 TPS and EVM compatibility, has not met expectations since its mainnet launch two weeks ago, with both data performance and ecosystem development under scrutiny. Currently, the Monad network has over 50,000 on-chain tokens, but DEX volume has dropped by more than 70% from over $60 million in the first three days to about $15 million. Furthermore, current DEX volume is mainly concentrated on PancakeSwap and Uniswap, while native DEX scale remains small.

Due to tokenomics controversies and competitive pressure from other high-performance chains, Monad faces adoption challenges, and its initial vision has yet to be realized. Monad is currently promoting developer participation through hackathons, but the launch and maturity of native dApps will still take time.
References:

• Gate, https://www.gate.com/trade/BTC_USDT
• Farside Investors, https://farside.co.uk/btc/
• Gate, https://www.gate.com/trade/ETH_USDT
• Farside Investors, https://farside.co.uk/eth/
• Gate, https://www.gate.com/trade/GT_USDT
• Gate, https://www.gate.com/price
• Wu Blockchain, https://x.com/WuBlockchain/status/1997247489888686210?s=20
• Dune, https://dune.com/defioasis/monad-dex

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