In the world of cryptocurrencies, narratives play a key role. Especially during a bull market. Let's figure out what is especially popular among cryptans
A bull market is the time when narratives matter enormously for crypto projects. In many ways, it is following trends that ensures their success and effectiveness.. Based on Google Trends research and analysis of market dynamics, CryptoRank analysts have identified seven leading narratives in the crypto market.
Artificial Intelligence (AI)
According to many members of the crypto community and cryptocurrency experts, the combination of cryptocurrencies and artificial intelligence is cool. They are all convinced that decentralized AI can open up new horizons of efficiency and use..
According to CoinGecko, the capitalization of AI tokens currently exceeds $7.7 billion. The sector has already attracted several prominent market players. In particular, the issuer of the largest stablecoin Tether (USDT) recently announced its intention to plunge headlong into artificial intelligence technologies..
Memcoins
Over the past six months, the crypto market has been dominated by those same “meme” coins. They have grown from a niche sector of the industry into something more. In the wake of the hype around memcoins in networks such as Solana (SOL) and Base, many others have already implemented the possibility of creating similar projects.
Read also: What are memcoins and is it worth investing in them?
The day before it became known that “meme” coins will appear in The Open Network (TON) and Fantom (FTM). Initiatives to support memecoins have also been launched by the Arbitrum (ARB) and Avalanche (AVAX) communities..
The BNB Chain ecosystem, backed by Binance, even announced a competition for developers of memcoin projects with a prize pool of $1 million.
RWA Tokenization
Tokenization of real world assets (Real World Assets, or RWA) is a new wave that has covered the crypto market. In a matter of months, the capitalization of tokens in this sector exceeded $7 billion, although recently the area was also considered rather niche.
Read also: 10 RWA tokens to watch in 2024
Large players are also joining tokenization, and from traditional finance. Thus, the world's largest asset manager BlackRock launched its first tokenized asset fund on the Ethereum (ETH) network in March..
DeFi
There's almost nothing to add here. Decentralized finance (DeFi) is an integral part of the crypto industry, so the sector is always trending.
L2 solutions
Scalable second-layer (L2) networks for Ethereum open up new opportunities for users, going far beyond the blockchain of the second cryptocurrency. For this reason, second-level solutions remain extremely popular among members of the crypto community..
P2E
GameFi is the main trend of the previous bull market and an extremely popular segment in the crypto industry, although not the most successful. Thus, according to a recent study, at least two thousand game projects have failed since the emergence of the Web3 sector..
However, they still appear, and in an improved form. Let's remember the hype around Notcoin – in three months, a mini-application in the Telegram messenger attracted 35 million users. Therefore, analysts believe that GameFi is quite ready for mass adoption.
DePIN
Complex, but promising: decentralized physical infrastructure networks (DePIN) For the average user – something incomprehensible. However, over the past year, Arweave (AR) coins have shown excellent dynamics. Over the previous 12 months, the token has grown by almost 200%.
Read also: 10 DePin projects to watch in 2024
But which narrative is the most, most popular? No, these are not memecoins. Here are the statistics obtained by CryptoRank analysts, according to Google Trends:
The most popular narratives on the crypto market. Source: CryptoRank
Native DeFi is the most popular. And the strongest narrative, according to experts, in the current cycle was the tokenization of RWA. Much of this has been driven by increased adoption by traditional firms, as we've already covered..
Instead of conclusions
Trends play a vital role in the crypto market. Therefore, it is important to choose projects that fit well into the current narrative landscape. Of course, the popularity of certain topics is not always related to efficiency (think memcoins), but it still has a huge impact on the industry and what happens in it.