This Weekend, These Cryptocurrencies Experiencing Remarkable Surges
Cryptos trade round-the-clock, every day of the week, and this constant activity can result in some unpredictable shifts at unusual times. Weekends, particularly those preceding a holiday week, have shown high volatility. Currently, after the stock market closed on Friday, over a dozen cryptos have seen double-digit gains.
The top performers include smaller tokens, which aren't just for generating laughs but offer real-world applications. For instance, Uniswap (-5.21%) has climbed 12.6%, while Chainlink (-6.75%) and Fantom (-4.44%) have surged 11.8% and 39.9% respectively. Even Sei (-10.09%) has increased by 33.5%.
Regulatory stance begins to take form
During the weekend, President-elect Trump declared hedge fund manager Scott Bessent as his next Treasury Secretary nominee. Known for his pro-crypto stance, Bessent recently expressed enthusiasm for crypto's freedom and the young generation's adoption of it.
As the next Treasury Secretary, Bessent will have a significant impact on the traditional financial system's interaction with the crypto sector. The crypto market has seen escalating prices following Trump's election, as investors anticipate pro-crypto policies. With Bessent's nomination, this could be the most concrete evidence of shifting tides.
Advancement of utility blockchains
Recently, there's been a buzz around meme tokens, but over the weekend, the real movers are the ones designed for actual utility. Uniswap, a leading token exchange, Chainlink, geared towards financial sector utility, Fantom, offering low-cost, highly scalable decentralized applications, and Sei, built for high-frequency trading are the front-runners.
It's not a coincidence that these blockchains are all designed for faster, more budget-friendly, and transparent financial transactions. An administration that wasn't enthusiastic about crypto might have stunted innovation. With the new leadership, the blockchain industry might thrive, fostering pioneering work using this technology.
Speculation remains rampant
The talk about this crypto trading often overlooks the real value the tokens themselves create through increased usage and innovation on their respective blockchains. It's unlikely the Sei and Fantom tokens will become the primary currency for financial transactions. Instead, stablecoins have filled this role for numerous transactions, making the blockchain virtually a commodity.
So, while the current weekend's moves are purely speculative, the blockchains themselves are built for utility.
Where does crypto head next?
After the election, major tokens were popular, then meme coins took center stage, and now utility tokens are gaining momentum. However, it's unclear how these tokens will outshine one another beyond further expectations of increasing buyers.
Though I'm optimistic about the blockchain, I find this current trading unsustainable, as it's mostly speculation driven by traders' momentum and wishful thinking about future developments. Regardless, we haven't progressed closer to cryptocurrencies functioning as an everyday transaction medium than we were a few months ago. Until this happens, I remain skeptical about these moves' longevity.
During this period of uncertainty, investors are looking for potential opportunities in the crypto market. With President-elect Trump's nomination of pro-crypto advocate Scott Bessent as the next Treasury Secretary, many are hoping for more favorable regulations that could boost investment in digital currencies. (This sentence contains the words: 'investors', 'cryptocurrencies', 'regulation')
As the crypto market sees a surge in prices, some are turning their attention towards utility blockchains and the tokens built on them. For instance, Uniswap, Chainlink, Fantom, and Sei are seeing significant gains, indicating a shift in investor focus towards projects with real-world applications. (This sentence contains the words: 'investors', 'crypto market', 'utility blockchains')
