Macro Environment
Trump’s Approval Ratings Rise After Assassination Attempt
Former U.S. President Donald Trump came closer to the presidency after being shot at during a rally to campaign for the year-end presidential election.
Trump has consistently supported the cryptocurrency market in recent years, asserting that he cannot allow other countries, especially China, to take over cryptocurrency. This has raised greater expectations for a relaxed regulatory environment in the U.S. cryptocurrency market, and the market is also anticipating whether China will further relax its regulatory policies.
The U.S. economy is at a turning point.
According to the Atlanta Fed’s GDP Now model estimation on July 10th, it is expected that the U.S. GDP growth rate for the second quarter will be 2.0% at an annualized rate. On one hand, the U.S. economy continues to expand, with GDP growth rate remaining close to potential growth levels, especially driven significantly by investment. On the other hand, with excessive household savings being depleted and high interest rates suppressing consumption, the strong pull of consumption on the economy has visibly weakened. Overall, the U.S. economy is at a turning point, with signals of cooling strengthening.
Current Market Situation and Future Trends
This week, the market has been strong due to reduced selling pressure, with Bitcoin (BTC) showing strong price performance and the altcoin market also strengthening. On July 23rd, an Ethereum spot ETF may be launched, supporting short-term market sentiment, and the Bitcoin Fear and Greed Index has turned greedy.
Bitcoin’s recent trend resembles that of the Nasdaq index, reclaiming a relatively strong performance. As mentioned in our publication last week, after the easing of selling pressure, there has been a rapid upward movement in the short term. However, with the possibility of a stock market decline before future interest rate cuts, which could trigger a market collapse, we need to closely monitor the trend of U.S. stocks.
High-Quality Track
AI Sector Hot Topic: WLD Delays Unlock Schedule According to the Worldcoin Foundation, the WLD tokens allocated to Tools for Humanity contributors were originally scheduled to begin unlocking linearly from July 24, 2024. However, TFH has extended the unlocking schedule of 80% of WLD held by team members and investors from 3 years to 5 years. Reason for Rebound: The AI sector previously experienced a sharp downturn. With the warming sentiment of BTC and the market, the rapid rebound of WLD has continued to drive the track’s recovery, leading to sustained strength in mainstream coins like TAO and NEAR.
Meme Track
Hot Topic: Ethereum Spot ETF Approval Imminent
The market anticipates that the ETH spot ETF may receive SEC approval on July 23, potentially yielding significant gains for participants in the Ethereum ecosystem.
Specific Coin List:
Etherfi: Etherfi’s second-quarter airdrop has begun, and the third quarter will run from July 1 to September 14, distributing 25 million ETHFI tokens.
PEPE: Currently, the hottest meme coin in the ETH ecosystem, with a strong community base, worth continuous attention as ETH’s major BETA.
User Focus
Popular Twitter Tokens
$VANCE
Vance was once a fierce critic of Trump but later shifted to supporting Republican leaders. He formally accepted the vice presidential nomination at the 2024 Republican National Convention, pledging loyalty to Trump. He initially gained fame with his book “Hillbilly Elegy,” later adapted into a movie. The book describes his upbringing in impoverished rural areas and his insights into American social and economic issues.
Furthermore, Vance is considered a politician supportive of cryptocurrencies. Although recent financial disclosures do not show any purchases or sales of cryptocurrencies, he disclosed in 2022 that he held between $100,000 to $250,000 worth of Bitcoin.
$ETHFI
Ether.fi Foundation has announced that they have drafted a document outlining current and future functionalities aimed at enhancing the utility, market dynamics, and user engagement of the ETHFI token. Additionally, the Ether.fi Foundation has announced that Season 2 ETHFI claims are now live.
Ether.fi allows participants to stake while retaining control of their private keys. Deposits from users are locally re-staked, utilizing Eigenlayer to support external systems like Rollups and oracles, thereby increasing earnings for ETH stakers.
Popular DApps
Meet48
Meet48 Metaverse is a unique virtual idol creation platform that integrates AI data models, dance choreography, idol song generation, and personalized virtual idol characters. Users can create user-generated content (UGC) using AI tools and export it to the platform to earn rewards. Additionally, MEET48 is a social metaverse driven by Web3 and AI technologies, encompassing elements of music, songs, and dance. Here, users can interact with idols from reality, meet like-minded friends, create their own avatars, and nurture them into highly acclaimed superstars.
Summary
In the past week, the market has experienced a strong rebound, especially with significant upward trends seen in Bitcoin and Ethereum. As U.S. economic data cools and calls for interest rate cuts increase, expectations for Federal Reserve policy have intensified. The potential approval of the Ethereum spot ETF and the introduction of staking features further fuel market enthusiasm, with Bitcoin breaking through key levels and some altcoins outperforming the broader market. However, future market dynamics will still need to consider trends in U.S. stocks and their potential impacts. In this macroeconomic environment, events in the AI and Meme sectors are noteworthy and deserve close investor attention.
The post first appeared on HTX Square.
