Market Overview
Overall Market Overview: This week, the cryptocurrency market showed a downward trend due to the impact of the Christmas holiday. The market sentiment index, although slightly increased from 7% to 10%, remains in the extreme fear zone; the significance is that despite the overall market weakness, USDC, dominated by the U.S. market, achieved a growth of 1.91%, indicating that institutional funds are currently flowing in, injecting some confidence into the market.
DeFi Ecosystem Development: The DeFi sector saw a slight decrease in TVL by 0.37% to $52.7 billion this week, but yield projects like the machine gun pool performed well, and the total supply of stablecoins has consistently maintained growth, indicating that despite the market correction, the underlying liquidity continues to flow in, with stable yield projects like the machine gun pool in high demand.
AI Agent Development: During this period, AI Agents gained significant market attention, with a total scale reaching $10.9 billion, particularly with the aipool model combining TEE technology becoming a new market focus, expected to become a new type of asset issuance following the "inscription method," demonstrating the trend of deep integration between AI and blockchain technology.
Meme Coin Trends: Affected by the holiday and the overall market decline, meme coins performed sluggishly this week, with a noticeable decrease in investor participation and capital inflow, while market enthusiasm temporarily shifted to other fluctuations, reflecting the high volatility characteristics of this cycle.
Public Chain Performance Analysis: The public chain sector demonstrated resilience against downturns, with Stacks achieving an important milestone with sBTC, BOB advancing the development of BitVM Bridge, and Taiko launching a new round of ecological plans, indicating that great public chains continue to focus on technological innovation and ecological construction.
Future Market Outlook: Looking ahead, the market is expected to experience a sluggish trend during the New Year's holiday, suggesting investors maintain a defensive allocation and increase the proportion of top asset allocations, while adjusting participation in high-yield machine gun pool projects; in the long run, the market generally expects a stunning rise in the first quarter of 2025, making AI Agents and DeFi machine gun pool projects worthy of special attention.
