Market Overview
Overall Market Situation: This week, the cryptocurrency market showed a downward trend under the influence of the Christmas holiday. Although the market sentiment index rose slightly from 7% to 10%, it remains in the extreme fear range; the implication is that, despite the overall market weakness, the USDC, dominated by the US market, still achieved a growth of 1.91%, indicating that institutional funds are currently entering the market, injecting a certain level of confidence.
DeFi Ecosystem Development: The DeFi sector saw a slight drop in TVL of 0.37% to $52.7 billion this week, but stablecoin yield projects like the Gun Pool performed well, and the total supply of stablecoins has been continuously growing, indicating that despite the market correction, the underlying liquidity continues to flow in, and stable yield projects like the Gun Pool are in high demand.
AI Agent Development: AI Agents have gained significant market attention during this period, with a total scale reaching $10.9 billion, especially the aipool model combined with TEE technology has become a new focus in the market, expected to emerge as a new type of asset issuance following the 'inscription method', showcasing the trend of deep integration between AI and blockchain technology.
Meme Coin Trends: Affected by the holiday and the overall market downturn, Meme coins performed poorly this week, with a noticeable decrease in investor participation and capital inflow. Market enthusiasm has temporarily shifted to other fluctuations, reflecting the high volatility characteristics of this cycle.
Public Chain Performance Analysis: The public chain sector has shown resilience against declines, with Stacks achieving an important milestone for sBTC, BOB advancing the development of BitVM Bridge, and Taiko launching a new round of ecological plans, indicating that great public chains continue to make efforts in technological innovation and ecological construction.
Future Market Outlook: Looking ahead, the market is expected to possibly experience a sluggish trend during the New Year's holiday. It is recommended that investors maintain a defensive allocation, increase the proportion of top asset allocations, and adjust participation in high-yield Gun Pool projects; in the long term, the market generally expects a potential remarkable rise in the first quarter of 2025, with AI Agent and DeFi Gun Pool projects worthy of close attention.
