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VIPBitget VIP Weekly Research Insights

The unique value of Proof-of-Work (PoW) tokens lies in their mining mechanism and regulatory positioning. Research shows that mining costs are a defining feature of PoW tokens, involving significant investment in hardware and electricity. When market prices approach miners' breakeven points, miners tend to hold onto their coins in anticipation of future appreciation. This behaviour reduces circulating supply, shifts the supply-demand balance, and may contribute to price increases. Regulatory clarity is also critical to the investment appeal of PoW tokens. Both BTC and LTC are classified as commodities by the U.S. SEC rather than securities, which simplifies the ETF approval process. In January 2024, the approval of the BTC spot ETF triggered significant institutional inflows. LTC is currently undergoing the ETF application process. While DOGE and KAS have not yet received formal classification, their PoW nature may position them for similar treatment. Together, these factors enhance market liquidity and attract more institutional investors.

VIPBitget VIP Weekly Research Insights

In recent weeks, increasing risk-averse sentiment and a decrease in demand for leverage have resulted in a significant decline in yields across Earn products. On major DeFi platforms, stablecoin yields have dropped below 4%, while on centralised exchanges, yields on stablecoin-based Earn products are now around 2%. In contrast, Bitget HodlerYield provides users with a 10% APR on stablecoins, without a 7-day cooldown for withdrawals or claims. Funds can be deposited and redeemed instantly, offering greater convenience and flexibility.

VIPBitget VIP Weekly Research Insights

The RWA (Real-World Assets) sector has been gaining significant traction in the crypto space, as it tokenises traditional assets like real estate and bonds to bridge the gap between TradFi and DeFi. This process unlocks trillions of dollars in potential value, while enabling broader access to high-value investments through asset fractionalisation, increased liquidity, and lower entry barriers. RWA also diversifies and stabilises DeFi collateral options, addressing the sector's over-reliance on crypto-native assets and paving the way for large-scale adoption. With regulatory frameworks becoming clearer worldwide, the compliance advantages of RWAs are increasingly evident—drawing in institutional capital. What sets RWA projects apart is their connection to real-world income streams like rent and interest payments, offering more sustainable returns than purely speculative assets. These cash-flow-generating features appeal to investors seeking steady returns. As such, RWA is seen as a crucial step in the evolution of blockchain technology from concept to practicality. Its development potential and practical use cases make it an important sector in the crypto industry today.

VIPBitget VIP Weekly Research Insights

Recently, the BNB chain has experienced a notable increase in both funds and user activity, with growing market attention on its ecosystem. Following the Binance Alpha update, the barrier between Binance's main platform and the chain has been effectively eliminated, allowing CEX funds to trade DEX tokens. This development is set to further boost user and fund activity within the BNB ecosystem, driving strong potential demand for Binance Alpha-listed assets. This is promising for the growth of the BNB ecosystem and underscores the importance of its core assets.

VIPBitget VIP Weekly Research Insights

Over the past month, the cryptocurrency market has faced a downturn due to multiple factors. Global macroeconomic uncertainties, such as shifts in U.S. economic policies and the impact of tariffs, have heightened market anxiety. Meanwhile, the recent White House crypto summit failed to deliver any significant positive news for the crypto market, further dampening investor confidence. Additionally, fluctuations in market sentiment have led to capital outflows, exacerbating price declines. In this volatile environment, selecting stable and secure passive-income products is more crucial than ever. Bitget offers solutions that not only provide high-yield fixed-term products but also flexible options for users who need liquidity. Furthermore, with the added security of the Protection Fund, investors can earn steady returns even amidst market volatility.

VIPBitget VIP Weekly Research Insights

In recent weeks, BTC has repeatedly tested the $100,000 resistance level, briefly surpassing it multiple times before failing to maintain its position, leading to sharp declines. Altcoins have entered a technical bear market, although SOL has demonstrated resilience during both downturns and rebounds. However, the trading frenzy around Solana-based memecoins has cooled, while discussions of institutional unlocking have gained traction on social media. On the night of March 2, Trump announced plans to establish a strategic crypto reserve, explicitly mentioning BTC, ETH, XRP, SOL, and ADA. This statement briefly reignited market sentiment amid oversold conditions, triggering a sharp crypto rebound. However, macroeconomic conditions remain largely unchanged, and liquidity recovery is a gradual process. The rally sparked by Trump's comments quickly faded, suggesting the market may still face further downsides. The following recommendations highlight projects worth monitoring in the current cycle, though they may not yet have reached an optimal entry point.

VIPBitget VIP Weekly Research Insights

The recent decline in the crypto industry stems from several key factors. First, volatility in the macroeconomic environment—such as the sharp drop in US stocks and global market uncertainty—has weighed heavily on high-risk assets like Bitcoin. Second, an increase in hacker attacks, including a $1.5 billion cryptocurrency theft on February 22, triggered panic and led to over 170,000 liquidations. Third, rising regulatory pressure, such as the SEC’s increased scrutiny of cryptocurrencies in the US and restrictions on trading and mining in some countries, has further undermined investor confidence. Additionally, the market is in a consolidation phase, with many funds buying the dip in the short term but quickly exiting as risk appetite declines. Finally, Bitcoin's failure to break through key resistance levels has led to weak demand and network activity, while ETF outflows have exacerbated the downward pressure. These combined factors have created short-term strain on the crypto market, contributing to its decline. As a result, this edition focuses on Earn-related products.

VIPBitget VIP Weekly Research Insights

Recently, BTC has weakened, altcoins have declined across the board, and trading volume on the Solana blockchain has continued to shrink. Daily transaction volume on Solana has hit new yearly lows, with over $200 million in sell-offs on pump.fun in just over two months since the start of the year. Additionally, the hype surrounding Argentina's president-related memecoin last weekend drained additional liquidity from the Solana network. Adding to investor concerns, a large amount of SOL is set to be unlocked on March 1, exacerbating deteriorating sentiment and leading to a noticeable decline in market wealth effects. Against this backdrop, investors are advised to reduce leverage, manage risk, and reserve funds for potential dip-buying opportunities. This edition highlights several USDT-based, SOL-based, and BTC-based Earn products, offering investors a diverse range of investment options.

VIPBitget VIP Weekly Research Insights

At present, the primary factors driving liquidity into the crypto market are ETF net inflows and new stablecoin issuances. Recently, several major U.S. financial institutions have applied to launch spot ETFs for assets like XRP and LTC. If approved, these ETFs could offer a substantial opportunity for both the assets and the wider crypto market. Investors might consider positioning themselves early, especially during market downturns, to take advantage of potential bullish catalysts.

VIPBitget VIP Weekly Research Insights

The Solana ecosystem is poised to benefit greatly from Trump's token launch. Celebrity involvement typically garners considerable attention, drawing new users to the Solana blockchain and increasing on-chain trading volume. Additionally, Trump's influence could stimulate more investment and attract developers, promoting greater diversity and innovation within the ecosystem. However, the longevity of celebrity influence is uncertain and depends on market confidence and the regulatory landscape. In the long run, ecosystem projects on the Solana chain are well-placed to be the ultimate winners, making them deserving of investor interest.