Author: Delphi Digital

Compiled by: TechFlow

1. BTC has greater upside potential

• According to Delphi's cycle forecast, BTC's performance is currently fully in line with its expectations. The forecast believes that BTC will hit a new all-time high in Q4 2024.

• Historical data shows that each time BTC reaches a new all-time high (ATH), the monthly RSI (Relative Strength Index) will break above 70. The previous bull markets typically only saw a top after the monthly RSI broke above 90.

• Looking at the monthly price regression channel, BTC is still within 1-2 standard deviations below the top signal, indicating there is still room for further upside.

• Increased interest from institutional investors and a gradually relaxed regulatory environment may be important drivers for this bull market.

2. The rise of Solana is just beginning

• Solana is expected to continue outperforming Ethereum, mainly due to its provision of a better user experience (UX) and a richer content ecosystem. On the Solana network, users do not need to perform Token authorization or use wrapped Tokens, and all operations can be completed smoothly.

• The Solana Virtual Machine (SVM) is currently the fastest growing alternative virtual machine ecosystem, and this rapid growth further enhances the network effect. In addition, technical improvements such as Anza, Firedancer, and more robust wallet infrastructure will continue to enhance the user experience.

• The technical vision proposed by Solana founder @aeyakovenko to increase network bandwidth and reduce latency may help Solana maintain a leading position in future competition.

3. The path to the revival of NFTs

• We believe that NFTs will see a revival as the market sentiment and fundamentals become misaligned. Although market sentiment has been depressed, the uniqueness and potential value of NFTs have not been fully explored.

• Compared to the easy tradability of ordinary Tokens, NFTs provide the ability to encode uniqueness onto the blockchain. This makes assets like art and fine wine have the potential to be NFT-ized.

• In the past, NFTs have created significant wealth effects. Airdrops by projects like @pudgypenguins, @MiladyCult, and @Azuki may inspire more NFT projects to follow suit, driving the overall market recovery.

• Furthermore, NFTs are more user-friendly for the general public. Not everyone is keen on frequent trading, and NFTs provide a new way for these users to showcase their culture and status.

4. DeFi is moving towards DeAI

• DeAI (Decentralized Artificial Intelligence) will fundamentally change the way we interact with DeFi (Decentralized Finance). By replacing traditional front-end interfaces, AI agents will help users complete transactions, exchanges, and find yields, while significantly simplifying the operation process through natural language processing.

• In the future, most capital allocation decisions are expected to be automated by intelligent agents, thereby improving efficiency and reducing the cost of human intervention.

• Currently, @griffaindotcom is a pioneer in this field, while other DeAI projects like @HeyAnonai are also gradually gaining market attention.

Original image from Delphi Digital, compiled by TechFlow

5. AI agents will become top crypto VCs

• With the development of technology, the future trading model will shift from the traditional player-to-player (PVP) human trading to automated trading mediated by intelligent agents. Agents can monitor the market 24/7 and process massive data, thereby outperforming humans in speed and accuracy.

• The core competitiveness of trading will gradually shift towards computing power and the acquisition and application of unique data sets.

• We expect that by 2025, at least three projects based on the intelligent agent framework will grow into unicorn companies with a market capitalization exceeding $10 billion.

Original image from Delphi Digital, compiled by TechFlow

6. High-throughput blockchains drive innovation

• The technological progress of high-throughput blockchains will bring new development opportunities and experimental space in 2025. These blockchains can handle more transaction volume while maintaining relatively low latency, providing a powerful infrastructure support for the innovation of decentralized applications (DApps).

• The projects we are currently focusing on include @HyperliquidX, @SuiNetwork, and @monad_xyz, and we also recommend keeping an eye on emerging blockchains like @berachain.

• Additionally, @megaeth_labs is also a project worth watching, but we believe MegaETH's target market is more inclined to compete with L2s rather than directly challenge L1s.

7. The DePin industry is seeing a revival

• Decentralized Physical Infrastructure Networks (DePin) are expected to achieve breakthroughs in the future. We predict that a large DePin project will be the first to achieve self-sufficiency, triggering a revaluation of the entire industry. This success may lead to a re-examination of the fundamentals of other DePin projects and drive the overall industry upward.

• Despite fierce market competition, DePin has shown disruptive potential in multiple areas, including wireless services (such as @helium), network infrastructure (such as @doublezero), mapping services (such as @Hivemapper), healthcare, and grid operations.

8. 2025 will be the year of the zkVM revolution

• Zero-Knowledge Virtual Machines (zkVM) will significantly improve the interoperability between Rollups (blockchain scaling solutions), making interactions between different blockchains more seamless. This feature will bring higher efficiency and broader application scenarios to the blockchain ecosystem.

• Furthermore, the development of zkVM will greatly expand the developer market, as developers will be able to use more programming languages (such as Rust) to build zero-knowledge applications, lowering the development threshold and attracting more technical talent to join.

9. AI will bring new opportunities to GameFi

• AI-based development tools are expected to improve the productivity of game developers, allowing them to complete game design and development more quickly. These tools can also help optimize game content and player experience.

• AI-driven NPCs (Non-Player Characters) are becoming a reality. For example, projects like InWorldAI are developing AI NPC systems specifically for games, bringing more intelligent and realistic interactive experiences to the game world.

10. Consumer-Grade DeFi: The Next Growth Frontier

• 2025 will be an important milestone for the development of consumer-grade DeFi, as more and more crypto users will fully embrace on-chain financial services.

• The introduction of zero-knowledge transport layer security protocols (zkTLS) will enable sensitive Web2 data to be securely transmitted on-chain while ensuring user privacy. This will provide technical support for new applications such as personalized intelligent agents and credit scoring, further expanding the application boundaries of DeFi.

• Additionally, the rise of revenue-sharing stablecoins is also anticipated. This model can better coordinate the interests between issuers and distributors, thereby promoting the healthy development of the stablecoin market.

Original image from Delphi Digital, compiled by TechFlow