🔥【Bitcoin Hits New All-Time High, Is the Era of Inscriptions Coming to an End?】🔥
📈 Real-Time Market
•$BTC : 119,500 (Post-ATH fluctuations, hourly Bollinger Bands widening)
•$ETH : 3,050 (Positive zk technology news, weekly increase of 8.2%)
•$SOL : $182 (On-chain activities recovering, pump token issuance completed)
💡 Key Insights:
The technical dilemma of the inscription protocol: From Ordinals to Runes, all protocols are caught in a bizarre loop of "issuing tokens equals the end," lacking support from practical application scenarios (e.g., BRC20 requires multiple transactions to complete transfers, CAT20 was attacked due to hash collision vulnerabilities)
Market Sentiment Turning Point:
Speculative demand retreats: The heat of the inscription protocol diverges from BTC prices, revealing trends in institutional movements: Institutions like Davis Commodities are shifting towards SOL strategic reserves, and Hong Kong companies are accelerating blockchain infrastructure布局
Key Data Warnings:
• Transaction volume of the inscription protocol has decreased by 92% from peak
• Off-chain indexer maintenance costs account for 78% of project budget
• Average holding time for users of inscription assets is only 11 days
🔍 In-Depth Analysis:
The essence of the failure of the inscription protocol is the misalignment between technological idealism and market real demand:
Excessive pursuit of "on-chain storage" while neglecting user experience (e.g., complex UTXO splitting rules in the Atomical protocol) relying on centralized indexers forms a pseudo-decentralization (the CAT20 case exposes system vulnerabilities) lacking a sustainable economic model (compared to DeFi liquidity mining, the inscription protocol has no native incentives)
💎 Recommendations:
For Developers: Stop the "token issuance protocol" inward competition, shift towards Bitcoin Layer 2 expansion solutions (e.g., Stacks, Lightning Network)
For Investors:
Beware of "Bitcoin ecosystem" concept hype and focus on projects that genuinely address pain points (e.g., DeFi protocols supporting BTC collateral, compliant RWA asset tokenization)
For the Industry:
• The value of the inscription era lies in validating Bitcoin's programmability
• The next stage needs to build a complete closed loop of "issuance-circulation-application" (referencing Ethereum's evolution from ICO to DeFi)
🌐 Trend Outlook:
As Bitcoin's price breaks through the psychological threshold of $120k, the market is shifting from "narrative-driven" to "value-driven." Projects that can anchor BTC as "digital gold" and expand its application scenarios (e.g., compliant RWA, decentralized clearing networks) will be the true next wave.
