By 2024, Crypto has seen countless trends/narratives appear on the market, but not all trends have good growth and profitability. Especially when the market has gradually blossomed, pump trends are uneven, some trends even decrease. So how can you choose which trend to join so as not to miss the market's rising waves? Let's find out with Allinstation.
Big Hand Backing – Binance
In the crypto market, having a trend backed by a big player is a huge plus, because most of the big players with influence and market manipulation like Binance can completely support and elevate a trend to become a good performer.
Looking back at the following table in 2020, when Binance simultaneously listed projects that were considered the " Starting Trend of that season ", specifically here the " DeFi Trend " with AMM DEX projects that integrated Farming, Lending , etc.
=> Medium ROI (AVG ROI) of projects calculated from TGE -> ATH price: ~22.6x
For this year 2024, the year that everyone expects the market to grow strongly, however, Binance's "excessive" listing makes us seem quite overwhelmed:
- Before Halving: The projects listed by Binance that have the most similarities are all related to “ Games ” and “ game development infrastructure ” such as: $XAI, $PIXEL, $ RON, $PORTAL,…
- After Halving: From the time Halving was over, there was a period when Binance listed all coins with the same trend " reStaking" such as: $ETHFI, $REZ, $ALT, $OMNI, $BB
There are also some other scattered trends from L1, AI, Non-Fungible Token. However, we can classify Binance's listing actions as follows:
- Listing coins with scattered trends (AI, L1, Crosschain, L2) => Because these are hot coins + the market is interested => Binance lists them to benefit from liquidation
- Listing coins according to trends ( DeFi - 2020, GameFi, reStaking and the latest is Tap2Earn + Meme) => Because this is a trend that the community is interested in + maybe it is supported by Binance, that's why it is being broadcasted in series like that.
=> We can see that Binance focuses most clearly on 4 trends in 2024: GameFi + reStaking + Tap2Earn + Meme
=> Because Binance is both an intermediary and a Capital , when Binance lists these trends, the market has already paid a certain amount of attention => Benefit from mass listing to gain liquidation
Digging into the analysis of 4 trends that Binance listed in series in 2024, we can see:
- GameFi Capital been a trend since 2020, which has been a trend for a while now, but with practical applications + market size growing steadily from 9 billion to 15 billion within 3 years. Especially in 2024, with the appearance of many famous games like Pixel, for a while, the entire Fomo market thought it could pull the whole trend back.
- reStaking : Once XEM an explosive trend like DeFi 2020 due to the fomo of receiving high interest + ponzi by doubling the interest rate. However, this trend has not yet had much of a role due to the weakening of the entire system $ETH in the past few years + bad market conditions. But the fact that Binance continuously listed these trending projects for a period of time also proves the attraction + potential that Binance believes in the trend.
- Tap2Earn : This is a recent trend, however, due to the market being in its most liquidation phase, Tap-2-Earn has emerged as a hope that can pull the market back. Of course, Binance also does not miss this opportunity to list and take the opportunity to support projects to save the market.
- Meme : The Capital thing about meme is the support + FOMO of the community for that coin. Memecoin is a special trend when the story does not need to be too special but lies in the pump - dump Token. Putting meme on its exchange and pushing up their prices is also a way for Binance to attract users. A typical example is NEIRO recently.
Read more:
- What is Neiro? Coin x20 when listed on Binance
- GameFi & reStaking will open the wave of technology coin growth in Uptrend Crypto 2024
- Tap to earn will be difficult to sustain? What contributes to the success of a trend?
=> The fact that Binance lists trends in bulk does not necessarily mean that this will be the leading trend, but this action is intentional to benefit from liquidation. The trends that Binance pays attention to must have been/are being nurtured by Binance to push the price, but all that remains is to wait for a market that provides an opportunity.
The platform is still the locomotive
Even though Binance has a trend listing, when looking at the remaining coins listed on Binance, the dominant coin is still L1, L2, Crosschain platform coins. Specifically, there are still 11 platform coin projects out of 35 projects listed in 2024.
Trends are born with the purpose of having a close story to attract market fomo + attract new people + cash flow, coins in the trend will be x5-x10 times. Because Trend must be able to apply the drawing to real life to attract users.
But what keeps users are the platform coins - something new users need to learn about when participating in crypto, because these platform coins are needed to build a crypto ecosystem.
The general model is: Bookmaker creates trend => Trend attracts new people => New people enter crypto => Learn about platform coins
That is why, for the most part, platform coins are still favored and held by many users.
=> Balancing the Portfolio to allocate balanced choices between trends to play + platform coins is indispensable.
How to choose the leading trend?
First of all, everyone can re-read this article Tap to earn will be difficult to last? What contributes to the success of a trend to know the criteria to choose a trend together.
Simply put, a successful trend needs at least the following elements arranged in the following order:
- Cake drawing can be applied to real life
- Ponzimic
- Easy access
Let's take a look back at prominent trends such as DeFi - financial application, GameFi - game application, Move to earn - sports application, AI - real-life technology application
Meeting at least 2/3 of the trend factors can pull the whole market up. Because the trend is created to attract the majority, and not everyone has enough knowledge + time to understand complicated things.
=> Trends must be conveyed to users in an easy-to-understand way for them to participate.
In addition, the Ponzi factor is also equally important. Remembering the time of DeFi and GameFi , it was thanks to the Ponzi that this trend really exploded and attracted many new people to the market. Meanwhile, the AI trend lacked the Ponzi factor => it did not attract that many people.
Likewise, Tap2Earn only meets the last factor of easily reaching new users without ponzinomics or even a story to draw out the application => do not appreciate this trend
Summary
Being able to grasp and evaluate the potential of a trend can give you more opportunities than others, when the current market has countless trends but not all trends grow.
Let's learn and discuss potential trends!
