The market remains volatile, and the BNB Chain Meme craze is rising｜Frontier Lab Crypto Market Weekly Report

Рынок Обзор

Overall market overview

This week, the криптовалютаcurrency market is in a volatile upward trend, and the market sentiment index has rebounded from 8% to 11%. The market value of stablecoins has basically continued to grow (USDT reached 143.7 billion, USDC reached 59.2 billion, with increases of 0.18% and 1.39% respectively), indicating that institutional funds continued to enter the market during the market downturn, maintaining the growth trend in the past three weeks, with the increase in US funds (USDC) as the main factor. It can be seen that after the decline in the past few weeks, US investors continued to enter the market at a high speed after last week; this weeks market rebounded in the middle of the week mainly because the Russian-Ukrainian war reached a 30-day ceasefire agreement with restrictions, and the Federal Reserve maintained the current interest rate as expected, and reduced the scale of QT from US$25 billion/month to US$5 billion/month, and said that the US economy has not declined, which has alleviated market sentiment to a certain extent, so Altcoin generally performed well against the benchmark index.

Next week forecast

Bullish targets: UNI, BNB, EUL

UNI: $165.5 million in ecosystem funding and reshaping DeFi leadership

Strategic funding empowerment

The Uniswap community has provided sufficient financial support for Uniswap v4 and Unichain through the largest grant in history of US$165.5 million, of which US$45 million is specifically used for liquidity incentives and US$95.4 million is used for developer ecosystem construction. This decisive investment will significantly enhance the competitiveness of the protocol and create a solid foundation for the value of tokens.

Innovation of Токен Экономическая модель

The potential implementation of the fee switch mechanism will completely change the UNI token economic model, enabling token holders to directly share protocol revenue. At the same time, Unichain has promised to distribute 65% of the on-chain net income to validators and stakers. This enhanced income attribute will attract more long-term investors. It is worth mentioning that Uniswaps annual revenue has exceeded US$90 million. If 65% of it is taken out for distribution, it can provide validators and stakers with US$58.5 million in profits.

Technological innovation and ecological expansion

Uniswap v4 has significantly lowered the development threshold through its innovative hook system and has attracted more than 1,000 developers to create more than 150 prototypes. The DeFi-optimized Unichain will provide efficient infrastructure for the ecosystem. This technological leadership will consolidate Uniswaps core position in the DeFi field.

Optimizing governance structure

Uniswap is actively promoting governance autonomy and plans to introduce a core contributor program and legal entity to reduce dependence on a single entity. At the same time, it promises to improve transparency and establish a representative council to oversee implementation. This governance upgrade will bring a more sustainable development model and stronger community cohesion to the protocol.

BNB: The rise of BNB Chain ecosystem and the road to value reconstruction

On-chain data continues to grow

The TVL of the BSC chain increased by 12.95% in one week, reaching US$5.448 billion, showing that the Meme wave has brought substantial traffic growth and value accumulation to the BNB Chain.

Marketing strategy success

Binance accurately grasps the investment opportunities of the UAE sovereign fund and creates a Meme narrative of Middle Eastern culture. The senior management team personally participates in community interaction and builds an official meme-community meme-token monetization model to transform personal influence into market driving force.

Pancakeswap Trading Volume

Pancakeswaps trading volume has increased significantly recently, with the peak reaching US$3.15 billion in daily transactions. As the largest DEX on the BNB Chain, Pancakeswap can reflect the ecological situation on the BNB Chain.

Technology policy innovation

The introduction of technical innovations such as zero-fee transactions, anti-squeeze compensation mechanism and Alpha section will simplify the BEP 20 token issuance process, build a exchange + public chain dual-wheel drive model, and create a low-threshold, high-liquidity Meme ecosystem for BNB Chain.

Strategic transformation path

Binance is making a strategic transformation from an exchange token to a value capture tool for Web3 infrastructure. It is learning from Solana’s experience and guiding Meme users to DeFi projects through a high APY strategy to retain user value.

Improved regulatory environment

As the SEC abandons its appeal against Ripple, the possibility of Binance reaching a final settlement with the SEC increases, and the reduced regulatory risk provides a brighter development prospect for BNB.

Pancakeswap daily trading volume

EUL: TVL hits a record high, cross-chain expansion and 54% high returns drive new growth in DeFi

TVL is growing rapidly

Eulers TVL increased by 30.56% this week to US$501 million, a record high, mainly benefiting from the expansion of the ecosystem, improving capital utilization and optimizing revenue strategies.

Provide high-yield products

Euler provides users with a high-yield lending pool. The stablecoin pool sUSDC/USDC can give users a maximum net asset return rate of 54.77%, and the depth continues to increase, exceeding 31 million US dollars, which is very attractive to users holding stablecoins.

Strategic Ecosystem Expansion and Cooperation

Euler is actively cooperating with other ecosystems. This week, Euler announced its cooperation with Berachain and launched a reward of BERA tokens worth $150,000. On the second day of landing on the Berachain ecosystem, it increased the TVL by $25 million.

Provide user incentive mechanism

Euler continues to launch incentive programs, including the latest $300,000 incentive, to encourage users to provide WETH or USDC to earn rEUL. The incentive mechanism can effectively attract new users, retain existing users and enhance platform liquidity, forming a virtuous cycle of ecosystem growth model.

Bearish targets: ALT, NFP, EDU

ALT: Altlayer faces a cooling of the market and large-scale unlocking

Market heat cools down

As a RaaS project positioned in the modularization and Layer 2 track, Altlayer is facing severe challenges in the market environment. In this round of bull market, the overall performance of the Ethereum ecosystem is not as good as expected, especially the Layer 2 project is negatively viewed by the market as the role of blood sucking Ethereum. This change in market sentiment has caused the modularization and Layer 2 track as a whole to lose investors attention and capital inflow, causing the popularity of related projects including Altlayer to drop significantly, and fall into the dilemma of no one paying attention.

ALT token unlocking selling pressure

Altlayer will unlock 195 million ALT tokens on March 25, accounting for 1.95% of the total locked amount. The unlocking scale is large, and the unlocking targets are mainly early investment institutions and project team members. In the context of the decline in project popularity, these investment institutions are likely to choose to sell tokens to recover funds, thus bringing significant selling pressure to the ALT token price.

NFP: The heat of the track where NFPrompt is located has declined, and it will face large unlocking next week

Both NFT and AI tracks have fallen out of favor

As an art creation and trading platform that integrates artificial intelligence and NFT, NFPrompt is facing severe market environment challenges. Since the end of the last bull market, the NFT track has been in a downturn, and in this round of the market it has been replaced by the Meme coin craze. At the same time, the recent overall market decline has caused the AI track to cool down rapidly, and most AI-related projects have fallen by more than 50%. This double cooling of the NFT and AI tracks has caused NFPrompt to lose popularity in the current market, making it difficult to attract investors attention.

Large-amount token unlocking may increase the risk of selling

NFPrompt will unlock 14.51 million NFP tokens on March 26, accounting for 1.45% of the total locked amount. Considering that NFP currently has a circulation rate of only 41%, the scale of this unlocking is relatively large, and the unlocking targets are mainly project team members. In the context of the obvious decline in the popularity of the project, the project team is likely to choose to sell tokens to obtain project profits, thereby bringing significant selling pressure to the price of NFP tokens, further exacerbating the market difficulties of the project.

EDU: Stratis market is sluggish, token unlocking may trigger selling pressure

Open Campus is a decentralized education solution that has not received much attention from the market since its launch. On March 28, 19.07 million EDU tokens will be unlocked, accounting for 1.91% of the total locked amount. The unlocking is large, and the current circulation rate of the project is 47%. In addition, the main targets of this unlocking are early investment institutions. If the project does not regain market attention, they will probably sell off, which is expected to have a certain impact on the price of EDU.

Market Sentiment Index Analysis

The market sentiment index rebounded from 8% last week to 11%, with little overall change and still floating above the extreme panic line.

Hot Tracks

BNB Chain re-emerges with the meme craze

status quo

In the first quarter of 2025, the meme ecosystem of BNB Chain showed an explosive growth trend. From the beginning, the test token TST in a teaching video, under CZs unofficial but tacit attitude, the market value soared 100 times to US$500 million in 3 days. It was called the TST token experiment by the market and began to show an explosive trend. Recently, after Binance received a US$2 billion investment from the UAE sovereign fund MGX, CZ included the term Mubarak in his post, which set off a meme wave of BNB Chain. In addition, Binances Binance Wallet transaction with zero transaction fees, full anti-squeeze + 24-hour compensation policy and the new Alpha section of the Binance main site for users to purchase conveniently pushed the meme wave of BNB Chain to a climax. Almost overnight, the attention and funds of the entire network were all focused on BNB Chain.

Specific analysis

Reasons for the BNB Chain Meme Craze

BNB Chain has been in a tepid state before 2025. It is not as good as Ethereum in the Defi field and Solana in the Meme field. Therefore, if BNB Chain wants to break through, it must choose a breakthrough direction. At present, the Crypto industry is full of the trend of attention economy, so BNB Chain chose the Meme track to break through.

Marketing reasons

Binance successfully attracted market attention and funds to the BNB Chain through a series of marketing strategies and wealth-creating effects. First, Binance seized the opportunity of the UAE sovereign fund MGX investing $2 billion in Binance, actively created a Middle Eastern cultural narrative, transformed Arabic elements such as mubarak and Mashallah into Meme tokens, and created a new cultural symbol system and investment logic by replacing CZs avatar with a Muslim white robe. Secondly, Binances senior management team actively participated in Meme hype. CZ personally purchased mubarak and TST tokens and announced them on Twitter, while He Yi interacted with users in a humorous and self-deprecating way, and even joined the Meme coin WeChat group to discuss the project, giving users the feeling that Crypto celebrities bought the same tokens as themselves, successfully transforming personal influence into market driving force. Third, Binance designed a model of official throwing-community picking-token cashing, which stimulated users enthusiasm for participation through blank marketing and community secondary creation activities, and achieved a wider dissemination effect. Finally, through self-deprecation, meme-playing and in-depth interaction by senior executives, Binance has enhanced users’ sense of equal participation and community belonging. These strategies have promoted the formation of a community culture centered on Binance and provided continuous impetus for the Meme craze.

Technical policy reasons

After learning from Solanas successful experience, Binance launched a series of innovative technologies and policies to build a low-threshold, high-liquidity Meme token ecosystem for BNB Chain. First, it launched a zero-fee strategy, sub-second block confirmation, and an anti-squeeze compensation mechanism, which significantly reduced user transaction costs and improved security, creating a user-friendly trading environment. Secondly, Binance opened up the on-chain and off-chain funding channels through the Alpha section innovation and the main site fund direct purchase function, bringing direct liquidity to the chain. Third, by simplifying the BEP 20 token issuance process, providing detailed development tutorials, and establishing the BNB Goodwill Alliance, Binance effectively lowered the development threshold, encouraged developers to quickly respond to market demand, and achieved the goal of rapid coin issuance. Finally, relying on Binances huge user base and traffic advantages, it further built an ecological closed loop, and achieved the coordinated development of exchanges and public chains by attracting liquidity precipitation and capital back to the BNB ecosystem.

Advantages and Disadvantages of BNB Chain Compared to Solana

If BNB Chain wants to make a difference in the Meme field, its most direct competitor is Solana. As the initiator of the Meme wave, Solana is a huge mountain that all Meme challengers cannot get around. The market and users will compare BNB Chain with Solana.

advantage

First, BNB Chain relies on Binance, and its exchange + public chain mutual diversion model provides sufficient liquidity for BNB Chain, and combines the Alpha section and other mechanisms to build an ecological closed loop. Secondly, the implementation of zero handling fees, extremely fast confirmation, and anti-clamp compensation and other features optimize the users trading experience and lower the threshold for participation. Third, Binance executives can enhance the cohesion of the community and attract traffic through interactive methods. Finally, BNB Chain attracts more developers by simplifying the BEP 20 token issuance process and support plan.

shortcoming

First, the performance of Solana chain is very superior, it can process 65,000 transactions per second, and it has fully demonstrated its efficient transaction processing ability on the chain in events such as TRUMP. In terms of performance, BNB Chain cannot compare with Solana. Secondly, Solana has a more advanced programming model and richer development tools, and its technological innovation is significantly better than BNB Chain, which uses more simplified technology. Third, because Solana is a US chain, it has a higher degree of recognition in the United States, and the main users in the current Crypto industry are American users. Finally, the Four.Meme incident shows that BNB Chain has security defects. Solanas Pump.fun has experienced more market tests and has not suffered a security crisis, so it is more likely to be trusted by users on the chain.

BNB Chain Future Development Direction

Solana is the representative of the Meme wave. Under the influence of the Meme wave, the Solana chain ecosystem is extremely prosperous, but it has not been able to convert Meme traffic well, so the ecosystem was greatly affected when the Meme wave receded. Because no matter how big the Meme wave is, it will eventually recede, so the future development strategy of BNB Chain should use Meme as a traffic growth point to convert Meme traffic into value precipitation of AI+DeFi. Build user conversion, technology conversion and capital conversion. After attracting new users through Meme, it is necessary to effectively гид them to enter AI data platforms such as Alaya and DeFi protocols such as PancakeSwap to ensure that more high-value users are retained. In addition, BNB Chain should expand the efficient trading infrastructure designed for Meme tokens to more complex financial scenarios, such as derivatives trading.

BNB Chain should create a complete value cycle ecosystem of Meme diversion – supporting infrastructure – enhancing commercial applications, thereby achieving a strategic upgrade from an exchange-affiliated public chain to a global leading Web3 infrastructure.

Overall overview of market themes

Data source: SoSoValue

Based on weekly returns, the Sociafi track performed the best, while the Layer 2 track performed the worst.

Sociafi track: TON and CHZ account for a large proportion in the Sociafi track, with a total share of 95.31%. This week, their increases were 29.51% and 6.21% respectively. TON accounted for the largest proportion and had the highest increase, making the Sociafi track the best performing.

Layer 2 track: MNT, POL, TIA, ARB, and OP account for a large proportion in the Layer 2 track, with a total share of 72.04%. This weeks increases and decreases were 7.12%, -1.67%, -6.36%, 6.98%, and 3.31%, respectively, resulting in the worst index performance of the entire Layer 2 track.

Crypto Events Next Week

Monday (March 24) GMove Cooper: Movements APAC Tour 2025 – Chengdu

Tuesday (March 25) Mining Disrupt Conference Expo 2025

Friday (March 28) The U.S. core PCE price index annual rate for February

Подведем итог

In summary, the overall cryptocurrency market is in a volatile upward trend this week, and the market sentiment index has rebounded from 8% to 11%. Although it is still in the extreme panic zone, it shows signs of easing. The continued growth of the stablecoin market value, especially the 1.39% increase of USDC, shows that American investors continue to enter the market during the market downturn, providing solid support for the market. The positive news such as the 30-day ceasefire agreement between Russia and Ukraine and the Federal Reserve keeping interest rates unchanged and significantly reducing the size of QT became the main catalyst for the market rebound this week, making most Altcoins perform better than the benchmark index.

In terms of track performance, SocialFi led the market due to the strong performance of TON, with a weekly return rate of 27.96%; the DeFi track performed well with a weekly return rate of 10.83%, reflecting the trend of value return. At the same time, the BNB Chain ecosystem became the biggest highlight of the week, successfully triggering a new round of Meme craze through precise marketing and technical policy innovation.

Next week, investors should be alert to the selling risks that may be brought about by projects facing large unlocking, such as ALT, NFP and EDU, while paying attention to potential opportunities for fundamental improvement in UNI, BNB and EUL. As market sentiment gradually recovers and stablecoin funds continue to flow in, the market may usher in more positive factors, but it is still necessary to remain cautious and pay close attention to changes in macroeconomic data and geopolitical situations in order to formulate a more prudent investment strategy.

This article is sourced from the internet: The market remains volatile, and the BNB Chain Meme craze is rising｜Frontier Lab Crypto Market Weekly Report

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