KuCoin Research has released its monthly report for January, highlighting a notable resurgence in Web3 investments. During this period, seed rounds and strategic financing increased, with 22% of projects securing funding exceeding $10 million.

Compared
to the previous month, the proportion of projects with financing below 10
million tokens decreased, signaling a shift in investor behavior. Sectors like
Infrastructure, NFT, and Gaming emerged as focal points, establishing dominance
alongside the Ethereum Virtual Machine (EVM) ecosystem.

The
surge in Bitcoin options dominated headlines in January, fueled by the growing
anticipation of a Spot ETF approval. Investors and market participants closely
monitored regulatory developments, speculating on the potential impact of such
approval on the broader cryptocurrency market.

The
optimism surrounding the Spot ETF hopes, combined with unexpected dovish
remarks from Fed Chief Powell, set the stage for a surge in Bitcoin options,
injecting dynamism into the crypto sphere. The net long positions of asset
management institutions and large holders remained robust, signaling resilience
amid global macroeconomic shifts.

Stablecoin
issuance, especially USDT, continued to rise while USDC stabilized, reflecting
the market’s adaptability to changes. The unexpected rise in the Bitcoin and
inscription ecosystems triggered a wealth effect from BRC20 tokens, attracting
a wave of CEX, crypto veterans, and venture capitalists into the inscription
market.

Besides
that, high-speed public chains like Solana and Avalanche exhibited a strong
rebound, propelling uptrends in sectors such as MEME, DePIN, and GameFi, resulting
in flourishing inscription markets across various ecosystems. Layer2 trends,
particularly in ETH Layer2, rebounded in Total Value Locked (TVL) after a
temporary slowdown.

Expect ongoing updates as this story evolves.

KuCoin Research has released its monthly report for January, highlighting a notable resurgence in Web3 investments. During this period, seed rounds and strategic financing increased, with 22% of projects securing funding exceeding $10 million.

Compared
to the previous month, the proportion of projects with financing below 10
million tokens decreased, signaling a shift in investor behavior. Sectors like
Infrastructure, NFT, and Gaming emerged as focal points, establishing dominance
alongside the Ethereum Virtual Machine (EVM) ecosystem.

The
surge in Bitcoin options dominated headlines in January, fueled by the growing
anticipation of a Spot ETF approval. Investors and market participants closely
monitored regulatory developments, speculating on the potential impact of such
approval on the broader cryptocurrency market.

The
optimism surrounding the Spot ETF hopes, combined with unexpected dovish
remarks from Fed Chief Powell, set the stage for a surge in Bitcoin options,
injecting dynamism into the crypto sphere. The net long positions of asset
management institutions and large holders remained robust, signaling resilience
amid global macroeconomic shifts.

Stablecoin
issuance, especially USDT, continued to rise while USDC stabilized, reflecting
the market’s adaptability to changes. The unexpected rise in the Bitcoin and
inscription ecosystems triggered a wealth effect from BRC20 tokens, attracting
a wave of CEX, crypto veterans, and venture capitalists into the inscription
market.

Besides
that, high-speed public chains like Solana and Avalanche exhibited a strong
rebound, propelling uptrends in sectors such as MEME, DePIN, and GameFi, resulting
in flourishing inscription markets across various ecosystems. Layer2 trends,
particularly in ETH Layer2, rebounded in Total Value Locked (TVL) after a
temporary slowdown.

Expect ongoing updates as this story evolves.



Source link