New Opportunities Arise Amid Fluctuation in the crypto market

This week, the cryptocurrency market is showing a downward trend, with the market sentiment index dropping to 8%. Despite this, the market capitalization of stablecoins has started to grow rapidly, indicating that institutional funds are re-entering the market, mainly driven by the growth of US funds. Although recent economic data releases have alleviated concerns about a recession, policy changes have intensified the fluctuation of Bitcoin prices, exacerbating market panic, and most altcoins are underperforming the benchmark index.

In this environment, projects such as BTC, S, AAVE, and BERA show potential for upward movement. BTC benefits from improvements in the macro environment and positive on-chain data; the fundamentals of S and BERA remain solid; AAVE is gaining attention due to governance optimization and favorable policies. In contrast, APE, APT, MERL, and TON may face downward pressure, mainly due to shifts in market attention, token unlocks, and outflows of ecosystem funds.

It is worth noting that projects like Aave and Berachain are showcasing innovative strategies. Aave is optimizing its token economic model through measures such as buybacks, which is expected to lead a new wave of innovation in DeFi. Berachain, on the other hand, attracts users with high APY, but its sustainability still needs to be observed.

Looking ahead to next week, the release of the US CPI data and the Web3 industry conference will be the market's focal points. Investors should continue to monitor on-chain data, policy trends, and the upcoming token unlock events to seize potential opportunities and mitigate risks.