Cryptocurrency Market Weekly Report: The Meme Coin Craze Continues, L2 Ecosystem Competition Intensifies

1. Market Overview

This week, the cryptocurrency market is overall showing a volatile trend. Bitcoin prices have slightly decreased, while the altcoin market is active, especially the Meme coin sector which remains popular. The market focus is gradually shifting from the Ethereum ecosystem to other public chains such as Solana, TON, Bitcoin, and Base, with a fully circulated Meme coin expansion.

It is worth noting that long-term investors have begun to accumulate Bitcoin again, marking the first time in six months. The American spot ETF has turned positive again after four consecutive weeks of net outflows, indicating that institutional investor confidence has somewhat recovered.

2. Hot Projects

1. NOT: A game Meme coin of the TON ecosystem, its fully circulated characteristics attract funding attention. It is expected to become the fuel fee for Telegram wallets in the future and serve as a payment medium for other mini-games in the TON ecosystem.

2. DOG: A representative project of the Bitcoin Rune ecosystem, with a market value close to the original inscription leader ORDI.

3. MAGA: A concept project for the US elections, planned to make charitable donations in the name of Trump, expand his influence, and create a new way to play with Meme coins.

3. Public Chain and DeFi Data

The total locked value ( TVL ) increased slightly by 0.5% this week, reaching 10.68 billion USD. The TVL of major public chains mostly fell, with Ethereum down 5% and TRON down 7%. Notably, the Linea chain surged 29% this week, with a TVL close to 600 million USD.

In the past month, the TVL of public chains such as Ethereum, Solana, BLAST, and MERLIN has all achieved growth of over 30%, indicating that the overall market sentiment remains optimistic.

4. Futures Market

The funding rate for futures has slightly decreased this week but remains in the positive range, indicating that the market's bullish sentiment is still relatively strong. The futures open interest is basically flat, with a long-short ratio of 1.6, suggesting an optimistic market sentiment.

5. NFT Market

The NFT market continues to be weak, with the floor prices of mainstream blue-chip projects generally declining. BAYC fell by 6%, Milady dropped by 12%, and Pixelmon and Pandora plummeted by 48% and 56%, respectively. Only Azuki and CryptoPunks saw slight increases.

Despite the trading volume doubling due to the drop in the floor price, the number of new buyers and returning buyers has not significantly increased, reflecting a sluggish market sentiment.

VI. Outlook

In the short term, Bitcoin may continue to fluctuate and consolidate within the current range. Market focus may continue to concentrate on fully circulating Meme coins and emerging public chain ecosystems. Investors should closely monitor the Federal Reserve's policy direction and its impact on market liquidity.