The current cryptocurrency market continues to decline, and there seems to be no hope of change in the short term, which often makes investors confused. In this context, how to manage the assets in hand has become a hot topic in the market.
Cryptocurrency market continues to decline
The cryptocurrency market in 2024 will be completely different from before. The price of Bitcoin rose from $26,000 to a high of over $70,000, but when a series of positive news materialized, the cryptocurrency market should have ushered in the strongest correction of this bullish period, but due to several severe declines, market panic spread.
As mentioned earlier, bull markets are often accompanied by new concepts, such as the token issuance boom in 2017, and DeFi and NFT in 2021. However, this year's market lacks new stories. Most projects simply copy old models and repeat the cycle. Investors have lost interest and even confidence in the potential of cryptocurrency projects to solve real-world problems and achieve widespread adoption.
The decline in the past six months has put the current market in a state of panic. The market is in recession, and everything depends more on the external macroeconomic situation. Although the Federal Reserve has begun a cycle of interest rate cuts, which should be beneficial to risky assets in the long run, focusing on core inflation may lead to more cautious policy currencies and intensify short-term fluctuations. The market is increasingly worried that the US economy is entering a recession.
Financial products become a popular category
The complex market situation has caused investors to lose confidence, and the most common and practical coping strategy is to reduce positions and increase the proportion of USDT holdings. During the market downturn, financial products that can generate additional returns from assets have become "hot" in the market.
Unfortunately, the profit margins of financial products offered by most exchanges today seem to be "big thunder and little rain". Taking USDT recharge as an example, among the three major CEXs, Binance's annual profit is about 1.8%, OKX is 2%, and Bybit is 7.23%, but in fact only the 500U limit has high profits, and the profit margin is only 2.23% outside this limit.
In addition to demand deposits, the annual interest rate of fixed-term products is usually maintained at around 3%. Although major exchanges will also launch some financial products with higher annual interest rates, most of them are "little porridge, a lot of", making it difficult for ordinary investors to grasp. The performance of on-chain DeFi projects is also average. Curve's stablecoin annual return rate is around 2.44%, Aave and Compound are 1.5% and 2% respectively.
The profit margin of financial products cannot meet the needs of investors to increase asset prices. The market urgently needs financial channels that can both ensure asset security and bring lucrative profits. In this context, the financial products of 4E Exchange have become a highlight of the market.
4E Earn: The perfect balance of flexibility and high profits
As a high-growth exchange this year, 4E launched a number of market-competitive products on its first anniversary, skillfully balancing financial flexibility and profitability, providing investors with extremely attractive choices.
Flexible returns: Compared with the annual yield of about 2% for current deposits in major exchanges, the annual yield of 4E current deposits is as high as 2.5%. Unlike similar products on the market, this investment return rate has no level limit, and all deposits can enjoy this profit regardless of the deposit amount. The current "deposit and withdrawal" function of the 4E Earn product is a flexible and affordable option for investors who pay attention to the market and are ready to trade at any time.
Fixed income: Among fixed income products, considering different uses and user needs, 4E provides three USDT products with an APY of up to 5.5%, which is almost twice that of similar products in the market. Specifically, the AYP is 5% for 14 days; 5.5% for 30 days and 5.5% for 90 days. If you assess that there are not many investment opportunities in the market in the near future, you can choose fixed wealth management products of different maturities according to your liquidity needs, and you will definitely get similar returns.
Quantitative Income: For investors seeking higher returns, 4E's quantitative income products offer the opportunity to earn 6% annualized returns. These products use market data and algorithmic models for automated trading, which can bring investors higher profits in a short period of time.
On-chain income: Compared with the DeFi USDT project's annual profit rate of about 2%, the annual on-chain profit rate on 4E is as high as 5%. Investors do not need to operate on-chain wallets and smart contracts themselves. The platform helps you invest funds in on-chain protocols, saving time and energy
Conclusion:
In today's sluggish cryptocurrency market, frequent entry and exit will increase the risk of loss, so prudent asset management is particularly important. The right investment strategy and patiently waiting for the market to turn around may be the wisest choice at this time. By providing diversified financial solutions, 4E Earn allows investors to obtain stable returns during the market "downturn" and be fully prepared for future market recovery.