Market Dynamics
The price of Bitcoin is showing an upward trend, but the Bitcoin contract rate is in negative territory, with the current long-short ratio at 0.6. Historically, this long-short ratio often exhibits contrarian indicator characteristics. Meanwhile, altcoins are generally experiencing a bullish market, leading to a phenomenon of capital diversion in the on-chain market.
The U.S. stock market is also experiencing an upward trend. Reports indicate that Trump plans to appoint a new Federal Reserve chairman, and the market anticipates that the Fed will cut interest rates twice in September and December. It is noteworthy that the U.S. dollar has depreciated by 10% this year, while the price of gold has surged by 30%. The U.S. fiscal situation is concerning, with government spending reaching $7 trillion and revenue only at $5 trillion, resulting in a $2 trillion deficit gap. Additionally, the total national debt has reached $37 trillion, and even if the yield on government bonds remains at 5%, the dollar continues to depreciate significantly. As a result, capital is gradually flowing from the U.S. stock market to the gold sector and emerging markets.
Market Highlights
1. Rise of the Base Chain Ecosystem: Tokens such as KTA, MAMO, GIZA, and AAA on the Base chain have all significantly increased. Among them, the leading Payfi public chain token KTA has performed particularly well, rising more than 200 times in just six months. Currently, KTA's chips are highly concentrated, with a market capitalization of $1.6 billion. Capital is shifting from the Sol chain to the Base chain, where projects are mainly focused on real applications rather than purely meme concept coins, which is closely related to the support of the Base Foundation.
2. Ton Chain NFTs are Booming: The Ton chain is gaining momentum in the NFT space, with its gift-type NFT trading volume surpassing that of the Ethereum chain. Taking the leading project Plush Pepe as an example, its price has skyrocketed by 300 times within six months of issuance, rising from an initial minting price of $30 to $9,000, accounting for 50% of the Ton chain NFT market's trading volume. It is reported that the Ton chain's strategic layout this year focuses on QQ Show, Yu'ebao model, and e-commerce sectors.
3. Avalanche Chain Meme Coins Fluctuate: The meme coin KET on the Avalanche chain has rebounded to a new high after a significant decline, with a current market capitalization of $600 million. The Arena launch platform on the Avalanche chain has become a hub for many token issuance projects, with numerous meme coins launched here, backed by some 'mysterious' financial powers.
