2026-01-18 12:25:47

After years of navigating the crypto world, I've seen many market upheavals. Looking back at the start of 2026, the crypto market has sent a clear signal — it's not a uniform rise and fall, but rather sector differentiation and rotation that are evident. This reflects a market shift from pure speculation to a gradual focus on value.

You can feel this change by observing the market trends on January 18th. Bitcoin fluctuated slightly around $95,000, while Ethereum consolidated around $3,300. The two major leaders have shifted from being the "market engine" to "market ballast," providing a stable foundation for other sectors' rotation. What truly stands out now are the performance of privacy coins, fan tokens, and the GameFi sector.

Looking further back, AI-related crypto assets and the DePIN sector have shown strong momentum. Venus TOKEN surged by 21.89% in a single day, DeepSeek and fastai increased by over 2%, Render Network jumped 13.65%, and DePIN overall rose by 1.90%. Capital is clearly flowing into tracks with real application prospects, which is completely different from the previous logic of "as long as you issue tokens, you can speculate."

This differentiation is no coincidence. The underlying logic has changed — investors are no longer just chasing hype and concepts but are paying more attention to whether the technology can be practically implemented and the long-term value of projects. Regarding the integration of AI and crypto, it's no longer just talk. Some platforms are building decentralized machine learning markets, using tokens to incentivize participants' computing power contributions — these are tangible applications.

The market is shifting from a "quick profit" mentality to a rational "sector selection" approach, which is the most noteworthy trend. The next winners will rely on genuine technological accumulation and application prospects, not just who can tell the most convincing story.

BTC-0.74%

ETH-0.36%

XVS1.36%

DEEPSEEK16.62%

View Original

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.

11 Likes

Reward
11
5
Repost
Share

Comment

0/400

MoonRocketman

· 01-20 23:44

I think the rhythm of this wave of sector rotation is quite interesting, but looking at the RSI data overlay, the fuel supply for the AI sector has just gotten on track, and the real launch window hasn't opened yet. The analogy of the leading pillar as a ballast is quite fitting, but don't be fooled by the stable foundation. The key is to calculate the escape velocity of DePIN; otherwise, catching the top means entering the atmospheric drag zone. Honestly, I'm a bit worried about the shift from speculation to value—once the market becomes rational, projects without real applications will indeed crash to pieces. But the question is, who can accurately judge what constitutes a "real application"? The seemingly promising tracks might just be good storytelling.

View OriginalReply0

NftBankruptcyClub

· 01-18 12:55

Someone finally said it, this wave is indeed different. The days when "issuing tokens would make them rise" are really over. Render's recent surge has made me go green with envy. I should have known to stock up more on DePIN. Venus's 21.89% surge—whoever positioned early is happy. I’m still debating whether to get on board. Basically, it's about finding projects that truly have substance. Don't be fooled by those "revolutionary" and "disruptive" descriptions anymore. AI+crypto really seems promising, but it depends on whether it can truly be implemented later. Is the era of storytelling over? I feel like there are still plenty of hype stories in the circle. Regarding sector rotation, you need to keep a close eye on the market at all times; if you're not careful, you'll fall behind. The new idea that the leading project has become a "ballast" is quite fresh, but I don’t know how long it will last. DePIN only increased by 1.90% overall, which feels a bit conservative. Is this the expected performance? Are funds really flowing into practical applications, or is this just another round of concept hype?

View OriginalReply0

LostBetweenChains

· 01-18 12:46

You're right, but I still believe in projects that are truly backed by computing power; superficial things will eventually collapse. I didn't get on the Venus wave; do I still have a chance now... By the way, DePIN is actually the future, much more reliable than just hype around concepts. You can really feel the change in this round; the days of all-out rallying across the board are truly gone. Sector rotation is more comfortable than blindly following the trend; you just need to know how to choose.

View OriginalReply0

GasFeeDodger

· 01-18 12:42

That's quite right, but I think most people are still gambling on emotions, only a few are truly looking at the long term. Is the bear market back again? This time I won't be forced to sell, just lying flat and watching the show. Venus up 21% in a single day? That's real rotation, unlike before when it was all just follow-the-leader trading. Technical implementation? I've heard that for three years, and now you're finally here? DePIN feels like the next hot trend, I got in early. Whether the story is well told or not is actually still important, otherwise how can it attract newcomers? Damn, we're rushing into the AI track again. Can we not blow up the hand this time?

View OriginalReply0

SneakyFlashloan

· 01-18 12:39

Bro, your analysis is really solid. I've been thinking about sector rotation too. I used to just follow the trend and buy, but now I realize I need to see the real deal. But to be honest, DePIN is really strong this time. Render's surge was so crazy, I didn't get in, I was just a bit slow. I'm convinced about AI encryption. The decentralized machine learning market concept looks promising, but I'm worried it's just a lot of talk with few real applications. After bragging about issuing tokens for so many years, I should have changed my tune. Now, only real stuff can keep you alive. This round of market tests your ability to pick the right track. Previously, even air coins could make money. Now, you have to be careful or you'll lose your capital.

View OriginalReply0