From October to the present, driven by the expectations of spot Bitcoin ETFs, the general rise in various concepts from BRC20, Solana Ecosystem to GameFi has been overwhelming, and the market restart seems to only take a moment.
In this environment where the market is suddenly warm and then cold, different hot spots such as Bitcoin ecology, Solana ecology, and PoW narratives are also rotating rapidly, making people overwhelmed. This article will review the mainstream narratives of the market in the past two months. And pay attention to the hot spots, while looking forward to the next track narrative that may take over. Risk warning: The encryption market changes extremely quickly, so be sure to pay attention to the risks!
01
Market hot spots rotate rapidly
1. Bitcoin ecology: ORDI leads the way
Naturally, the first one to bear the brunt is the Bitcoin ecosystem, especially the Inscription track represented by "ORDI", which has carried the banner of market hot spots in the past two months, and the growth of Inscription-related star Tokens has continued to set new records.
Especially since the launch of BA, ORDI has been going strong. In just one week, the inscription craze has reached a climax, and it has become the most dazzling new star in the encryption market.
This has also given rise to the popularity of the concept of SATS, RATS and even other public chain inscriptions. However, in the past few days, Bitcoin Core core developer Luke Dashjr has poured cold water on inscriptions such as ORDI with his fierce criticism. ORDI has experienced a roller coaster ride over the past two days.
Generally speaking, Bitcoin Core developers have been opposed to Inscription for a long time and clearly want to take action. However, considering that the Inscription market has bound the interests of miners, trading platforms and users, it is destined to be a multi-party tug-of-war. Therefore the advancement will not be very smooth.
It is worth noting that the industry has once again had a big discussion about Ethereum and Layer 2 in recent times, especially the problems caused by the continuous launch of new Layer 2 based on the concept of expansion: liquidity fragmentation, mutual incompatibility, etc. This is also This has caused the Ethereum narrative to appear languid, and the Bitcoin Inscription fire has exacerbated this situation.
2.Solana Ecology: SOL brings up Indian Summer
Against this background, high-performance heterogeneous chains represented by Solana have once again attracted market attention. Among them, SOL has more than tripled its growth in just two months, and its market value is approaching US$30 billion.
Among the factors that led to the rise of SOL, in addition to the Solana community's continuous disaster reconstruction efforts after the FTX incident, the attention of Wall Street old money brought by Lily Liu, chairman of the Solana Foundation, cannot be ignored , especially the promotion of Sonala to A wider range of over-the-counter funds is a competitive advantage that is currently difficult for other public chains to replicate.
As the popularity of SOL rises, Solana ecological projects have also ushered in their own Indian Summer, and many ecological sub-projects have emerged that deserve attention. Among them, the oracle project PYTH and the MEV project JTO are undoubtedly the most eye-catching newcomers. Both of them were also launched on BA, Coinbase and other major exchanges for the first time, so you can pay attention to their subsequent performance.
In addition, the transmission path of Alt L1 from Solana to the outside is also worthy of attention. At present, the first transmission chain is Avalanche, and other new public chains are also gradually being driven.
3.FTX reorganization concept
The representative among them is naturally FTT. As the bankruptcy process of FTX continues to advance, in view of the recovery of billions of dollars of assets, as well as the new restructuring plan is beneficial to users, the trading platform is expected to restart and other factors, the creditor's rights of FTX have been rising in recent times. Prices have also been rising.
The perception from the data dimension is also obvious. Since October this year, the OTC valuation of FTX claims has exceeded US$0.5, which indicates that the market expects that about half of user assets will be recovered .
As of November, the quotations of some larger FTX creditors' claims have risen to US$0.6 to US$0.65, an increase of 30% compared with about a month ago, and the market's optimistic expectations have become increasingly obvious.
This also prompted FTT to hit a one-year high.
Nowadays, there are more and more public news about the over-the-counter collection of FTX claims, especially with the continuous appreciation of SOL’s assets waiting for liquidation, and the acceleration of the FTX claim processing process. The subsequent resumption of FTX may not be impossible, and VGX and other The concept of factory bankruptcy and reorganization is naturally worthy of attention.
4. PoW ecology and AI ecology: KAS, TAO
In addition, KAS, as a new generation of PoW rookie, has also launched BA after repeatedly setting new highs and reaching US$1 billion in market value. At the same time, it has led to a short-term boom in a series of PoW Tokens and even small PoW trading platforms. However, except for KAS, most of them are It was short-lived and will not be mentioned here.
AI-related tokens once again attracted market attention with the OpenAI battle in November. Projects like TAO that belong to the AI algorithm model market and are superimposed on the PoW concept are more likely to attract financial attention.
In particular, TAO is combined with specific AI businesses and is committed to providing AI algorithm models to developers around the world to form an AI algorithm model market. It enjoys a valuation premium, which has increased more than 6 times since the beginning of October.
02
What concepts might take over?
In addition, which sections or concepts have signs or potential trends worthy of attention in the future?
1. ETF derivative concepts
To some extent, the core narrative that has prompted the market’s rebound in the past two months comes from expectations of spot Bitcoin ETFs, in which the attitude of the US Securities and Exchange Commission is a key determining factor.
Currently, there are only 5 non-security Tokens recognized by the U.S. Securities and Exchange Commission (SEC). In addition to Bitcoin and Ethereum, they are BCH, LTC and DOT.
This means that if the spot ETFs of BTC and ETH are really approved by the U.S. SEC this year and next, it stands to reason that if Capital chooses to apply for a new cryptocurrency spot ETF, it will only choose from the three non-BCH, LTC and DOT Select from the security tokens.
Therefore, as the time for the U.S. SEC to make a decision on ETFs is getting closer and closer, in addition to Bitcoin and Ethereum, which are currently focused on by the market, BCH, LTC, and DOT undoubtedly also have huge room for subsequent speculation and imagination, and recently DOT The supplementary increase should also include this expected driving factor.
2. Cosmos ecology is gaining popularity
As of the time of publication, many ecosystem projects in the Cosmos system have hit record highs one after another. Among them, NTRN should be related to the community proposal of "deployment of smart contracts with permission mode". As Cosmos currently focuses on the consumption chain of smart contracts, this proposal is equivalent to broadening The applicable contract scenarios of cosmWASM are the most direct benefit.
As the consumption chain of Cosmos that currently focuses on smart contracts, Neturn is equivalent to the smart contract distribution center of the Cosmos ecosystem. Therefore, if Neutron can set a good example for the consumption chain, it will be a big plus for ATOM's utility empowerment.
In addition, INJ also successfully exceeded 27 USDT today, and TIA exceeded 11 USDT, setting new highs simultaneously. INJ has become one of the most bizarre tokens in the Cosmos system this year, with a total market value of US$2 billion.
At present, whether it is Celestia, Injective, Neutron, etc., they have brought considerable variables to ATOM that are worth looking forward to.
03
summary
Generally speaking, hot spots have been emerging recently, the bull market seems to be vaguely audible, and the footsteps of bears are almost gone. The market is actually waiting for the boots of spot Bitcoin ETF to finally land.
In this context, remaining cautiously optimistic, always observing and actively participating may be the only thing that can be done in the current hot market atmosphere.
