Virtual currency market correction, no operations today, observing

Hey, friends in the crypto circle, I took another stroll in the virtual currency market today, but in the end, I didn't make any moves and chose to stay put. Let’s chat about today’s market situation.

Market correction, Layer2 and GameFi sectors lead the decline

Today, the overall crypto market corrected, with the Layer2 sector leading the decline by 7.02%, and the GameFi sector also dropping by 6.99%. Within the Layer2 sector, Starknet (STRK) and Celestia (TIA) fell by 9.64% and 9.72%, respectively. In the GameFi sector, Axie Infinity (AXS) and Decentraland (MANA) also declined by 9.05% and 10.65%, respectively. This wave of correction caught me off guard; I was still thinking of finding opportunities in the Layer2 sector, but the market suddenly “changed its face.”

ETH drops below $2600, BTC relatively stable

Ethereum (ETH) broke through $2700 yesterday but has dropped below $2600 today, down 3.52% in the last 24 hours. Bitcoin (BTC) remained relatively stable, down 0.68%, but still hovering around $103,000. The volatility of ETH made me a bit anxious; the previous rise made me a little tempted, but today's correction made me hesitate, fearing getting trapped if I entered.

Pi Coin crashes, community dissatisfied

Pi Coin also made big news today, with its price crashing by 33%, dropping from $1.5 to $0.84-0.89. The reason is that Pi Network announced a $100 million venture capital fund, but the market reaction was not good. Community members of Pi Coin are dissatisfied with the launch of this fund, feeling that the core team has overlooked early supporters. The crash of Pi Coin surprised me a bit; I thought this was a positive signal, but the market didn’t agree.

DeFAI growth, but risks remain

A report from Binance Research shows that meme coins occupy 41% of the market share in the AI-related cryptocurrency field, while the DeFAI (combination of AI and decentralized finance) sector currently occupies only 10%. However, DeFAI is undergoing a transformation from proof of concept to infrastructure, and there may be greater development potential in the future. But I’m still a bit worried since there are three major risks in this field: unclear ownership definitions of AI agents, lack of operational transparency, and potential abuse issues in decentralized governance. So, for now, I still don't dare to easily get involved.

#Trading