Crypto market overview this week

BTC and ETH Market Performance

This week, the crypto market has shown an overall trend of fluctuations and decline.

Bitcoin has shown a general downward trend this week, mainly influenced by two major events: first, the arrest of a founder of a well-known social media platform, and second, the market adjustment triggered by the financial report released by a chip giant. These events reflect the current weakness in market purchasing power and investors' concerns about uncertainty in the future.

Ethereum has followed Bitcoin this week, showing a similar downward trend. The co-founder of Ethereum expressed opposition to DeFi on social media, triggering backlash from ecological projects and users. There is an increasing pessimistic sentiment in the market regarding the future development of Ethereum, leading to a weaker performance this week.

Important Events

1. The founder of a well-known social media platform was arrested in France and charged with multiple felonies by the court, restricting his departure from the country. This incident has negatively impacted the related ecosystem, leading to a decline in market performance.

2. The co-founder of Ethereum publicly stated that he does not support DeFi, triggering widespread opposition within the industry. The Ethereum ecosystem is built on a vast financial system, and if it indeed abandons support for DeFi in the future, it could lead to a large number of projects migrating to other public chains, weakening its competitiveness.

3. The financial report released by a certain chip giant shows that the revenue scale in the second quarter far exceeded expectations, but failed to bring surprises to the market, instead triggering a brief decline in the U.S. stock market and the crypto market.

Altcoin Market Overview

This week's market sentiment index dropped to 38%, a significant decline from last week's 90%. The profit-taking after a rapid rebound has shifted market sentiment from extreme greed to fear.

The altcoin market was influenced by multiple factors this week, including the significant events mentioned above and a lack of notable market trends.

Top 5 Increases in Public Chain TVL

1. Sei: Integrated privacy computing layer, clarifying that the security event is not an external attack, integrating account abstraction infrastructure.

2. Merlin: A certain BTC-related project's mainnet goes live, making the BTC ecosystem the focus of the crypto market again.

3. Aptos: The Meme coin project is active, attracting market attention.

4. Near: Major upgrades are being implemented to improve on-chain efficiency. The chain abstraction track is gaining renewed attention.

5. Sui: On-chain meme coins are performing well, and new projects are borrowing strategies from other chains to attract funding.

Top 5 Token Increases

This week's gainers list does not exhibit the characteristic of "sector concentration", with gains significantly lower than last week:

1. FET(AI): Influenced by the earnings report expectations of chip giants, it rose first and then fell.

2. PENDLE(LSDFi): New asset launched, the market is optimistic about future development.

3. ZRO( Cross-chain ): Benefiting from the increasing opposition to L2, cross-chain technology is regaining attention.

4. IMX( GameFi ) and TRB ( oracle ): No obvious benefits.

Meme Token Performance

The rebound strength of the Meme coin sector is stronger than last week. The founder of a certain public chain has publicly supported the Meme project, and the Ethereum ecosystem is gradually shifting to support the development of Memes. The focus of the Meme project is shifting to Ethereum, and it is expected to develop rapidly in the short term.

Social Media Hotspots

Layer 1 blockchain projects have the highest level of attention, but generally show a downward trend. In the absence of hotspots during market fluctuations, major public chains perform relatively well, reflecting investors' relatively strong confidence in infrastructure projects.

Theme Tracking

GameFi performed the best, while SocialFi performed the worst. However, GameFi's cumulative increase is still negative, affected by recent market events. SocialFi's overall poor performance has been dragged down by the decline of a major project.

Important Events Next Week

• September 2: TON Asia
• September 3: US August ISM Manufacturing PMI
• September 4: Bitcoin Odyssey
• September 5: US August ADP Employment Numbers; Meta Expo Dubai 2024
• September 6: U.S. August unemployment rate; U.S. August seasonally adjusted non-farm payrolls

Next Week Outlook

1. Bitcoin: Lacking its own positive factors, price fluctuations are mainly influenced by macro data. It is expected to oscillate upwards under the impact of unemployment rate data.

2. Ethereum: Re-supporting Meme projects within the ecosystem, expected performance will continue to outperform Bitcoin.

3. Altcoin: It is expected to mainly follow macro data fluctuations, making it difficult to develop an independent market trend. Each sector lacks hot topics and may continue to be closely correlated with the overall market movement.