The recent surge in 2024 was initiated by the BTC ETF, and this wave of smart money belongs to top-tier projects and yield farming studios. They are closely connected and have together created some impressive data. On one hand, project teams can raise more funds from VCs (if you observe the leading VCs in the market, they are all above a billion dollars in scale, which indeed raises the valuations of good projects), while on the other hand, project teams with both funds and users are very confident. On-chain, there are millions of users, and whether a certain platform lists them is irrelevant; there are plenty of centralized exchanges (CEX) willing to list, and if not, there are decentralized exchanges (DEX), and at the very least, they have their own DEX on their chain.

Trading platforms do not hold pricing power, so for projects with high valuations, everyone should still look at the fundamentals, not just the market cap, and it’s best to also consider the circulation volume.

Is it true that lacking VC investment and having fewer project teams would lead to a healthier market? Every cycle will have some projects that traverse bull and bear markets, and countless top-tier projects will fall by the wayside. Whether in web2 or web3, entrepreneurial success is very rare, and projects that cross the chasm and navigate through cycles are even scarcer.

Investing involves risks; proceed with caution. #2024withBinance