A question I have been thinking about is, where are DeFi, NFT, and GameFi in this round?

Does it depend on meme coins?

Before answering this question, we need to think about a question first: how did the last bull market happen?

This article outlines:

How did the last bull market happen?

Why is meme coin the DeFi, NFT, and GameFi of this bull market?

Which meme coins should be traded?

1. How did the last bull market happen?

I divide it into three main reasons:

1️⃣ Loosening of funds: During the epidemic, the Federal Reserve can only continue to loosen funds, which has led to a surge in US stocks, derivatives, and cryptocurrency circles.

But just releasing water is far from enough. Money will not come in by itself. It needs people to bring it in. It needs a large number of people to bring it in. It is not enough to rely solely on institutions because someone has to take over.

2️⃣ NFT breaks the circle: NFT has become popular from a corner. Top celebrities, socialites, and wealthy people in Europe and the United States are playing with NFT. Then wealthy businessmen and celebrities in other countries in the world followed suit. This brought the first wave of users.

This not only brought in users, but also brought in a huge amount of funds.

Note: What did you feel when you first learned about NFT? Hundreds of thousands of dollars for a small picture? This is not decentralized?

3️⃣ GameFi breaks the circle: Before 2021, GameFi was a derogatory term, which meant that your product narrative was not big enough, not sexy enough, and the chain reform was not Web3 enough. However, AXS brought a large number of users, a large number of users who had never been exposed to web3. NFT still has a threshold, but playing games does not.

The above three points are the three core elements I have summarized. No other factor has as great an impact as these.

2. Why is meme coin the DeFi, NFT, and GameFi of this bull market?

Ok, let’s now think about what this round of bull market requires?

1️⃣ Loosening of liquidity: The Federal Reserve has begun a cycle of interest rate cuts, and there will be more and more liquidity. It may not be as severe as in the years of the epidemic, but when combined with the amount of ETF spot, the scale is still very terrifying.

2️⃣ Breaking the circle: How do we allow users outside the circle to come in?

  • Should we talk to them about DeFi? Look at the state of DeFi now. People in our industry don’t even speculate on it anymore.

  • Or should I tell them about NFT? I have a bunch of small pictures and punks but no one buys them. There really is no one. Four years have passed and all the new investors have become old investors.

  • Or GameFi? The dual token model launched by AXS is really awesome, and it shocked the entire cryptocurrency circle. Damn, your game has more active users than the entire cryptocurrency circle. But TG mini-games are even more terrible than it, but they still haven’t broken the circle.

The market will always give the answer, and meme coins will emerge when there is nothing new.

We all complain that this thing is useless, has no product, and relies purely on shouting orders, but the question is what is the role of the meme?

What if it is used as the cryptocurrency circle’s publicity and promotion expenses for ordinary retail investors?

图像

  • Understanding threshold: Is it easier for an outside user to understand DeFi and NFT, or to understand a Doge coin?

  • Breakthrough communication: Is it more impactful for a coin to increase by 1 times from 1 billion US dollars to 2 billion US dollars, or is it more topical for neiro to increase by 100 times from 10 million to 1 billion?

3. Which meme coins should be traded?

Principle: Pick the low-hanging fruit; make steady money with high odds, not low odds money

  • The coin that occupies the mountain and becomes the king: that is, the coin that is listed on Binance first, just like the small neiro is listed on Binance spot, then it is the king, and the capital neiro has to stay away

  • Coins with global narratives: Doge (presidential narrative, as long as Musk and Trump don’t break up, doge will always be the king, no doubt about it), PEPE (former king)

So, now everyone should thank meme, because at this moment it is attracting the attention of users outside the circle and bringing batches of new users into this magnificent industry.

Of course, it naturally becomes the exit liquidity for us old investors.

I wish everyone’s wealth level can reach a higher level.

Thanks to meme