Bitget Research: Negative Market Sentiment Persists, Grass Launches Tokens Airdrop

Bitget Research2024/09/05 08:06

By:Jarseed & Aaron

In the past 24 hours, many new popular tokens and topics have emerged in the market, which are likely to be the next wealth creation opportunities.

In the past 24 hours, many new popular tokens and topics have emerged in the market, which are likely to be the next wealth creation opportunities.

Overview

The crypto market sentiment continues to flag. The highlights are as follows:

Sectors with strong wealth creation effect: USDT-based earning pools offering high annual yields with low risk, and DeFi blue chips (AAVE, 1INCH).
Top searched tokens and topics: World Liberty Financial, Yuga Labs.
Potential airdrop opportunities: Story Protocol, Elixir.

Data collection time: September 5, 2024, 4:00 AM (UTC)

1. Market Environment

Despite a brief correction from yesterday's downward panic, the crypto market remained sluggish, with both trading volume and activity remaining low. The market continues to show a downward trend, with no clear signs of a rebound.

Bitcoin ETFs have experienced net outflows for six consecutive days, including $37.2 million yesterday. Ethereum ETFs also continued their net outflow streak, with $37.5 million in outflows yesterday. Several ETFs have recorded zero net inflows for consecutive days. ETF data indicates that users of several ETFs are monitoring with caution.

In the crypto ecosystem, the renowned project Grass announced its airdrop query page yesterday. The page currently displays distributions for the test Alpha season and seasons 1–7, excluding the ongoing reward season and any future distributions yet to be announced. The total supply of GRASS tokens is 1 billion, with 10% allocated for the initial airdrop.

2. Wealth Creation Sectors

2.1 Recommended to Watch – High-Yield, Low-Risk USDT-M Pools

Primary reasons:

Given the current market panic and the low likelihood of a significant short-term rebound, it is advised to hold a substantial amount of stablecoins and wait for market stabilization before engaging in right-side trading.

Recommended projects:

Kamino: Currently the lending protocol with the highest TVL on Solana, offering an APY of 13% on USDC and 19% on PYSUD.
NAVI Protocol: Currently the protocol with the highest TVL on SUI, offering stable returns with an APY of 10.6% on USDC and 7.7% on PYSUD.

2.2 Sectors to Focus on Next: DeFi blue chips (AAVE, 1INCH)

Primary reasons:

DeFi blue-chip projects are experiencing significant buybacks. For example, the 1INCH team has spent a total of 2,993,000 USDT to repurchase 11,454,000 1INCH tokens since July 5, at an average price of $0.26. In the traditional market, such phenomena are seen as positive signs, indicating that companies are confident in their own stocks and are taking action to buy them back, which can boost overall market confidence.

Factors affecting future market conditions:

Total protocol asset size: The cash flow generated by such protocols primarily depends on the asset size they manage. As the asset size increases, revenue typically rises, which should enhance the performance of their respective token prices.
Policy impact: As the cryptocurrency industry gradually gains legislative approval and societal acceptance, favorable policies will become a major driver of rising token prices. With more asset management giants entering the field, we anticipate steady progress in its development.

3. Top Searches

3.1 Popular DApps

World Liberty Financial (DApp)

World Liberty Financial is a crypto project backed by the Trump family. According to a draft of the white paper obtained yesterday, a whopping 70% of its tokens will be reserved for the project's founders, team, and service providers. The remaining 30% will be distributed via a public sale, with a portion of the proceeds also going to the founding team.

According to the white paper, all WLFI tokens will be non-transferable and indefinitely locked in wallets or smart contracts. They can only be unlocked through protocol governance procedures in accordance with applicable laws. Given Trump's reputation as a crypto-friendly presidential candidate, the project has garnered significant attention from the crypto community.

3.2 X (former Twitter)

Yuga Labs

Yuga Labs, the NFT publisher, has launched the sequel to Dookey Dash, titled Dookey Dash: Unclogginged, offering a $1 million reward. The app is now available for pre-download in the mobile app store. Released in 2023, the original Dookey Dash game features the Sewer Pass NFT, which is airdropped to holders of Ape NFTs at various levels.

3.3 Google Search (Global and Regional)

Global focus:

POL:

Polygon developers have migrated MATIC tokens to POL, which is now the native gas and staking token on the Polygon PoS chain. MATIC holders on the Polygon PoS chain do not need to take any action, as the upgrade to POL will occur automatically. However, MATIC holders on Ethereum, Polygon zkEVM, or centralized exchanges must actively migrate their tokens to POL using a migration contract. POL will maintain MATIC’s existing tokenomics, distribution, and a total supply of 10 billion tokens. The initial exchange ratio for converting MATIC to POL is set at 1:1. Emissions will increase gradually by 2% over ten years to support growth. To date, leading exchanges including Upbit, Binance, and Coinbase have announced their support for MATIC token conversion.

Regional focus:

(1) Search volume for POL and MATIC has surged in Europe, America, and English-speaking countries. Solana has become a trending search term in the UK, while AI and MEME are trending keywords in Canada, Australia, and Poland.

(2) In Asia and Latin America, there are no significant search hotspots, with search terms being dispersed. Only a few countries have noted mentions of memecoins like FLOKI and PEPE.

4. Potential Airdrop Opportunities

Story Protocol

Story Protocol, an IP management protocol, aims to revolutionize how human history is recorded using blockchain technology, documenting and integrating content and intellectual property across various blockchains.

The project recently completed a $80 million Series B funding round led by a16z Crypto, with participation from institutions like Foresight Ventures and Hashed. To date, PIP Labs, the development team behind Story Protocol, has raised $140 million, with a valuation of $2.25 billion. The project, with significant market attention, could become a leading contender in the new blockchain sector.

How to participate: Story Protocol has partnered with multiple projects, including Colormp. Users can participate in the Color Commemorative Launch NFT minting for these projects and stay engaged by completing related tasks, potentially securing airdrops of IP tokens in the future.

Elixir

Founded in 2022, Elixir is a modular DPoS liquidity network that allows anyone to provide liquidity directly to the order book, bringing liquidity to long-tail crypto assets and enabling exchanges and protocols to direct their ledger liquidity.

On March 12, 2024, Elixir completed an $8 million Series B funding, bringing its valuation to $800 million. Previously, on October 18, 2023, Elixir completed a $7.5 million Series A funding, and on January 17, 2023, it secured $2.1 million in seed funding, with investors including Hack VC, GSR, Sui, and Amber Group.

How to participate: Earn points on Apothecary by depositing at least $100 worth of ETH to mint elxETH for unlocking treasure boxes. elxETH is a native yield token backed on a 1:1 ratio by ETH, which will become a universal LP token across all chains upon mainnet launch, powering order book liquidity for exchanges. Additionally, you can provide liquidity for Elixir-supported protocols through https://agg.elixir.xyz/.

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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