Encryption market weekly summary (5.27-6.2): Notcoin price and volume soar together, L2 competition intensifies

Author: Mike

A. Market Viewpoint

I. Macro Liquidity

Improvement coin Liquidity goods. Central Bank in Europe and the United States have been bumpy on the road to interest rate cuts, and market expectations of interest rate cuts have cooled, causing US Treasury yields to rise. U.S. stocks hit new highs under the leadership of technology leaders Nvidia, which is about to surpass Apple to become the world’s largest market capitalization. The overall performance of the encryption market is weaker than that of U.S. stocks, and it continues to fluctuate and whipsaw.

2. Market Overview

Top 100 Market Cap Rise Ranking:

This week, BTC fell after oscillating, and 10 billion dollars in BTC were transferred from the Mentougou wallet, possibly related to the creditor’s compensation in October. The main focus of the market is on the Meme zone, with funds gradually spreading from the ETH chain to SOL, TON, BTC, Base, and other public chain’s fully circulating Meme coins.

1. NOT: It is a meme coin in the Ton ecosystem, characterized by full circulation, with DWF as the market maker. In the future, NOT will be empowered as the fuel fee for the Telegram Wallet and will serve as the payment and gold farming medium for other small games in the TON ecosystem.

2.DOG: It is the leading ecosystem of BTC runes, airdropping chips are fully circulated, and the market value is close to the original inscription leader ORDI.

3.MAGA: It is the leading concept of the US election Polifi, and the US presidential candidate Trump supports Crypto. MAGA will use Trump’s name for charity donations, expand Trump’s influence, and can be considered a new way to play Meme.

3. BTC Market

1. On-chain data

BTC continues to consolidate. Long-term investors are accumulating BTC for the first time in six months, easing the selling pressure of long-term holders and returning to accumulation mode. The net outflow of US spot ETF turned positive again after four consecutive weeks.

Stable Coin market capitalization decreased by 1%, overall trend of fund inflow slowed down.

Institutional funds have been net inflows for 3 consecutive weeks, with a cumulative inflow of 15 billion US dollars so far this year. The inflow of ETH funds is the highest since March, possibly in anticipation of the approval of spot ETFs in the United States.

The long-term trend indicator MVRV-ZScore is based on the total market cost and reflects the overall profitability of the market. When the indicator is greater than 6, it is in the top range; when the indicator is less than 2, it is in the bottom range. When MVRV falls below the critical level of 1, holders are generally in a loss state. The current indicator is 2.4, entering the middle stage.

2. Futures market

Futures funding rate: The rate has slightly decreased this week. The rate is 0.05-0.1%, with a higher long leverage, indicating a short-term market top; the rate is -0.1-0%, with more shorts leverage, indicating a short-term market bottom.

Open interest: BTC open interest remained unchanged this week.

Futures long-short ratio: 1.6, market sentiment is optimistic. The sentiment of retail investors is mostly a reverse indicator, with a level below 0.7 being more fearful and above 2.0 being more greedy. The data of the long-short ratio fluctuates greatly, weakening its reference significance.

3. Spot Market

BTC is in a wide range of shock period, waiting for the liquidity released by the Fed’s interest rate cut after September. The dominance of BTC is declining, and the altcoin season is coming. Due to the overall overvaluation of VC coins and a large number of unlocked coins, meme coins with full circulation have become the market’s main focus.

B. Market Data

1. Total Locked Amount of Public Chain

2. TVL Proportions of Various Public Chains

The total TVL this week is 106.8 billion US dollars, up by 500 million US dollars, an increase of 0.5%. The TVL of mainstream public chains this week is mainly falling, with ETH off-chain falling by 5%, TRON off-chain falling by 7%, ARB off-chain falling by 2%, BTC off-chain falling by 4%, AVALANCHE off-chain falling by 6%, POLYGON off-chain falling by 3%, OP off-chain falling by 4%, and both MERLIN chain and BLAST chain rising by 1%. Although most mainstream public chain TVLs have been declining this week, in the past month, ETH chain, SOLANA chain, BLAST chain, MERLIN chain, etc. have all experienced over 30% rise, and market sentiment remains high. Linea chain, which is worth paying attention to this week, stands out with a 29% increase, and the total TVL is also approaching 6 billion US dollars.

3. Lock-up Volume of Each Chain Protocol

1. ETH Lock-up Situation

2. BSC Lockup Volume Situation

3. Polygon lockup situation

4. Arbitrum lock-up situation

5. Lock-up status of Optimism

6. Base Lockup Amount Situation

7. Solana Locked Amount Situation

4. Changes in NFT Market Data

1. NFT-500 Index

2. NFT market situation

3）NFT trading market share

4. NFT Buyer Analysis

This week, the floor prices of blue-chip NFT projects have almost all fallen, and the overall market is still continuing to decline. This week, BAYC fell by 6%, MAYC fell by 5%, Pudgy Penguins fell by 4%, Milady fell by 12%, LilPudgys fell by 8%, DeGods and CloneX fell by 11% respectively, Pixelmon plummeted by 48%, Pandora plummeted by 56%, only Azuki rose by 3%, and CryptoPunks rose by less than 1%. The sharp drop in floor prices of blue-chip projects has also doubled the trading volume of the NFT market, but the number of first-time buyers and repeat buyers has not shown a significant recovery. The NFT market as a whole has hit rock bottom, and the market sentiment seems to be on the verge of despair.