Crypto Assets Market Weekly Report

This week, the encryption market showed a wide fluctuation trend, with the market sentiment index dropping to 10%, entering an extreme fear zone. The market capitalization of stablecoins continues to grow, indicating that institutional funds are still entering the market. The low market sentiment is mainly affected by the uncertainty of Trump’s cryptocurrency policy after taking office. Although relevant bills were issued on Thursday, they failed to significantly boost the market. Most tokens fell more than the overall market, and Altcoins performed overall weaker than the benchmark index.

The DeFi sector performed remarkably, with TVL increasing by 0.56% to $53.8 billion, marking two consecutive weeks of positive growth. This is mainly attributed to the rise in underlying asset prices and project incentive measures, leading to a general increase in on-chain APY. Projects like Sumer.money and Meteora showed impressive TVL performance, indicating that investors are refocusing on the foundational returns of DeFi.

The total market value of the AI sector reached 41.9 billion USD, but subsequently adjusted due to low market sentiment. Virtuals Protocol, Swarms, and others continue to promote technological innovation, focusing on the layout of autonomous trading agents, multi-agent collaboration frameworks, and infrastructure. The application of TEE technology and emerging narratives such as the agent economic system are gaining attention.

The focus of the Meme coin market is concentrated on TRUMP and MELANIA issued on Solana by Trump and Melania, causing significant declines in other Meme coins, indicating a high level of speculation.

In the public chain ecosystem, Solana and Tron stand out. Solana benefits from the issuance of the TRUMP token, with the on-chain stablecoin supply reaching a record high. Emerging public chains such as Sonic, Core, and BSquared continue to innovate in the DeFi and AI fields, demonstrating strong development potential.

Looking ahead to next week, the market will focus on the Federal Reserve FOMC meeting, the PCE price index, and tech stock earnings reports. The market is expected to remain volatile, but investors are optimistic about the opportunities brought by clearer policies after February. The DeFi and AI sectors are likely to benefit from improving fundamentals and policy support.