Overall Market Performance:
Currently, the cryptocurrency market has shown a pullback, with a general decline of more than 10%, reflecting weak market sentiment, especially during the recent period of high volatility.
Strong Sectors:
BTC (Bitcoin): Down 1.73% in the last 24 hours, a relatively small decline. As the leader of the market, Bitcoin typically demonstrates a strong hedging effect during times of increased market uncertainty.
ETH (Ethereum): The decline in the last 24 hours is 5.16%. Although this decline is larger than Bitcoin's, it still shows relatively strong performance compared to other sectors.
CeFi (Centralized Finance): The decline in the last 24 hours is 5.29%, the smallest decline among all sectors, indicating relatively strong performance.
Weaker Sectors:
Layer 1: Down 9.92% in the last 24 hours. Layer 1 refers to the foundational blockchain protocols, such as Bitcoin and Ethereum. The significant decline may suggest a slight decrease in market confidence in these foundational protocols, possibly due to network congestion issues or competitive pressure from more efficient Layer 2 solutions.
Layer 2: Down 10%. Layer 2 protocols are generally used to extend the functionality of the main chain, enhancing transaction speed and reducing fees. The substantial drop in this sector may reflect market uncertainty regarding the short-term application of these solutions.
Meme Sector: Down 11.2% in the last 24 hours. Meme coins typically exhibit high volatility, relying on community sentiment and short-term speculation. The pullback of such assets is often severe, especially during periods of low market sentiment, increasing selling pressure on speculative assets like meme coins, leading to significant declines.
RWA (Real World Assets): Down 11.27%. Crypto projects in the RWA sector typically attempt to bring traditional assets (such as real estate, debt, etc.) onto the blockchain. However, the current market acceptance and liquidity for such assets are low, leading to insufficient investor confidence and subsequent price pullbacks.
DeFi (Decentralized Finance): Down 11.83% in the last 24 hours, the largest decline among all sectors. The DeFi market has experienced rapid growth over the past year but has also faced more regulatory and security risks. In the overall downturn of the cryptocurrency market, the high dependency and technical complexity of DeFi projects have resulted in greater pullback pressure.