Gate Research: Market Consolidates in a ‘Door-Shaped’ Pattern | FHE Leads the Altcoin Sector

Crypto Market Overview

• BTC (+1.86% | Current Price: 91,052.7 USDT): After a sharp V-shaped rebound between the night of December 7 and the early hours of December 8, BTC entered a sideways consolidation within the $90,000–$91,700 range. The chart structure resembles a “door-shaped” pattern, indicating that after a rapid rebound, the market has shifted into a correction and stabilization phase. Major players may be testing resistance around the $91,500–$92,000 zone while rotating positions. In short-term moving averages, the MA5 has crossed below the MA10, forming a minor death cross that signals a neutral-to-choppy short-term outlook. Overall, the market remains in a range-bound consolidation phase, with cautious sentiment prevailing and no clear directional breakout yet.
• ETH (+1.86% | Current Price: 3,102.66 USDT): ETH’s price movement largely mirrored that of BTC. After a sharp wick-down rebound on the night of December 7, ETH traded within a narrow range around the $3,100 level, maintaining a sideways consolidation pattern. In short-term moving averages, the MA10 has crossed above the MA5, forming a minor death cross, which indicates that momentum is entering a corrective phase. The price currently remains above all three moving averages, yet the short-term trend has not fully realigned into a bullish setup, suggesting that ETH is still in a post-rebound consolidation range. Overall, ETH continues to exhibit range-bound behavior, with its market rhythm closely correlated with BTC’s movements.
• Altcoins: Altcoins showed divergent performance — large-cap tokens moved modestly higher in line with the broader market, while mid- and small-cap tokens with strong narratives or news catalysts displayed more active price action. Overall market sentiment remained neutral to cautiously bullish. The Fear & Greed Index stood at 20 today, placing it in the “extreme fear” zone.
• Macro: On December 5, the S&P 500 Index rose 0.19% to 6,870.4 points, the Dow Jones Industrial Average gained 0.22% to 47,954.99 points, and the Nasdaq Composite increased 0.31% to 23,578.13 points. As of 4:50 a.m. UTC on December 8, spot gold was trading at $4,239 per ounce, down 0.09% over the past 24 hours.

Trending Tokens

FHE Mind Network（+136.04%，Market Cap: $9.67m）

According to Gate market data, the FHE token is currently trading at $0.0387, up more than 130% over the past 24 hours. Mind Network is a project focused on Fully Homomorphic Encryption, which enables computation and processing of data while it remains fully encrypted, eliminating the need for decryption and thereby achieving true privacy protection. Its main application scenarios include the AI agent economy, Web3 privacy infrastructure, and quantum-resistant security.

The surge in FHE’s price is largely driven by intense market enthusiasm for FHE technology. FHE allows direct computation on encrypted data, offering potential solutions to key privacy challenges in AI agents and Web3 ecosystems. Meanwhile, progress from competing FHE projects such as Zama—including its sealed-bid auction experiments and upcoming mainnet launch—has further fueled sentiment across the sector. With Mind Network’s FHE token featuring a small market cap and a strong narrative fit, it has become a direct beneficiary of renewed capital inflows.

GLMR Moonbeam Network（+43.8%，Market Cap: $38.75m）

According to Gate market data, the GLMR token is currently trading at $0.03835, up more than 40% in the past 24 hours. Moonbeam (GLMR) is an EVM-compatible parachain within the Polkadot ecosystem, essentially serving as Ethereum’s compatibility layer on Polkadot. It enables developers to deploy Solidity smart contracts and use familiar Ethereum tools (such as MetaMask and Web3.js) without any code modifications, while benefiting from Polkadot’s cross-chain interoperability and shared security.

The recent surge in GLMR is primarily driven by market sentiment and speculative activity. With a relatively low market cap, GLMR had recently dropped to near its historical lows, making the current move a technical oversold rebound. In addition, CT has been flooded with GLMR pumping posts, trading signals, and profit-sharing screenshots, all of which have accelerated capital inflows. The combination of low circulating supply and high volatility has resulted in a parabolic short-term rally — a classic hallmark of small-cap speculative tokens.

LUCIC Lucidum Coin（+32.05%，Market Cap: $43.34m）

According to Gate market data, the LUCIC token is currently trading at $0.2583, up more than 30% over the past 24 hours. Lucidum Coin (LUCIC) is a BSC-based meme token that emphasizes transparency, innovation, and ethical wealth creation. The project’s name, derived from the Latin word “Lucidum,” symbolizes clarity and integrity in Web3.

LUCIC’s rally is not driven by any major news but rather by the recent revival of the BSC meme sector and community-driven momentum. The BSC meme market has shown early signs of recovery, and tokens like LUCIC—with longer activity history and smaller market caps—have been featured on several community watchlists. As LUCIC rebounded from its lows, it also appeared on multiple 24-hour top climbers lists, further fueling retail FOMO and speculative buying.

Alpha Insights

Strategy, the Largest Public BTC Holder, Admits It May Sell Bitcoin in Extreme Scenarios

In a recent interview, Strategy CEO Phong Le and co-founder Michael Saylor publicly acknowledged for the first time that the company might sell its Bitcoin holdings under extreme conditions. They explained that if MSTR’s stock price falls below its Bitcoin net asset value (mNAV < 1) and the firm is unable to raise external capital through stock or bond issuance, it would consider selling BTC. This statement directly contradicts Saylor’s long-held “never sell Bitcoin” belief and has sparked market concern, even though the executives emphasized that it would be a last-resort measure at the corporate level.

Strategy currently holds about 650,000 BTC, valued at nearly $60 billion, making it the world’s largest corporate Bitcoin holder. Recently, sharp market fluctuations drove BTC down from above $120,000 to $85,000, dragging MSTR’s share price lower and amplifying risk through its leveraged “borrow-to-buy” strategy. The company’s mNAV briefly dipped below 1, triggering widespread anxiety.

Earlier this month, however, Strategy announced a $1.44 billion cash reserve, enough to cover 21 months of interest and preferred dividends (roughly $800 million per year), partially reducing short-term selling pressure. Nevertheless, if BTC enters a prolonged bear market, investors should closely monitor Strategy’s stock price, mNAV ratio, and official disclosures for signs of further risk.

Base Launches SOL-Base Bridge, Sparks Backlash from the Solana Community

Base recently launched the SOL-Base Bridge, which leverages Chainlink’s Cross-Chain Interoperability Protocol (CCIP) and its security infrastructure to enable seamless asset transfers between Base and Solana, including SOL and SPL tokens. According to BaseScan, over 49,000 SOL—worth approximately $6.6 million—have already been bridged to the Base network.

While the Base community celebrated the launch as a milestone in multichain connectivity, it quickly drew criticism from the Solana community. Key figures, including Solana co-founder Toly, accused Base of conducting a “vampire attack”—a strategy aimed at siphoning liquidity from the Solana ecosystem through technical integration rather than collaboration. Critics also pointed out that the initially integrated apps, such as Zora and Aerodrome, are Base-native projects, with no real participation from Solana’s ecosystem, suggesting a one-sided benefit.

In response, Jesse, head of the Base protocol, stated that the bridge was built in response to developer demand, aiming to connect Solana assets to the Base economy and vice versa, emphasizing it as a two-way collaboration rather than competition. Ultimately, this controversy reflects not a technical conflict but a deeper struggle over community trust and cross-chain market share amid a period of muted sentiment and limited liquidity.

Monad’s Growth Falls Short of Expectations as Daily DEX Volume Drops 70%

Monad, a high-performance Layer 1 blockchain promising 10,000 TPS and full EVM compatibility, has struggled to meet expectations since its mainnet launch two weeks ago, raising concerns over both on-chain activity and ecosystem development. While more than 50,000 tokens have been created on the Monad network, DEX trading volume has plunged from over $60 million during the first three days after launch to around $15 million, marking a decline of more than 70%. Currently, most trading activity is concentrated on PancakeSwap and Uniswap, while native DEX platforms remain relatively small.

Amid controversy over tokenomics and intensifying competition from other high-performance blockchains, Monad is facing adoption challenges, with its early promises yet to be fulfilled. The team is currently promoting developer engagement through hackathons, but the deployment and maturity of native dApps will still take time to materialize.


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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