2024 Crypto Assets Market Review and Outlook

The year 2024 is extremely important for the Crypto Assets market. Key events such as Bitcoin halving, the approval of the Bitcoin ETF in the United States, and Trump's victory are driving significant market growth, with Bitcoin surpassing the $100,000 mark. At the same time, more institutions, companies, and even countries are starting to participate in the encryption field.

2024 Market Highlights

• The birth of the GOAT project has disrupted the industry's perception of the combination of AI and encryption, showing that smart contracts may be more suitable for AI agents rather than human use.

• The direct involvement of the Trump family in DeFi projects is surprising, indicating a fundamental change in the attitude of the mainstream financial market in the United States towards Crypto Assets.

• The combination of politics and encryption has come earlier and more violently than expected, and this trend will continue to deepen.

Bitcoin Price and Retail Participation

• After Bitcoin breaks $100,000, retail investors still have opportunities to participate, but they need to adjust their investment strategies.

• Bitcoin can be regarded as an investment and financial management tool similar to U.S. stocks and gold, serving as a long-term asset allocation.

• The altcoin market is undergoing self-repair, and in the future, more professional investment research capabilities will be needed to achieve excess returns.

Institutional Investment Strategy

• Institutions like MicroStrategy are buying large amounts of Bitcoin through methods such as issuing convertible bonds, and this model may be emulated by more companies.

• Institutional participation has effectively broadened the accessibility of Bitcoin, allowing more people to indirectly engage in the market.

• Major institutions are expected not to hold a high proportion of Bitcoin, with 7-8% likely being an upper limit.

Bitcoin Ecosystem Development

• The concept of Bitcoin Layer 2 is currently in a state of semi-falsifiability, and its future development still requires time.

• BTC-Fi has just started, and if it can provide stable returns, it is expected to become a multi-billion dollar track.

• The Bitcoin ecosystem should focus on important areas that require absolute neutrality, such as infrastructure for freedom of speech.

Outlook on Trump's Term

• Trump coming to power may promote Bitcoin as a national strategic reserve, and more Crypto Assets ETFs will be approved.

• The Republican Party controlling both the House and Senate is beneficial for the passage of crypto-friendly bills.

• Policy implementation needs to be gradual, and investors should view policy benefits rationally.

2025 Market Forecast

• The possibility of a major bull market in Q1 is relatively high, with a transition between bull and bear markets likely to occur in Q2 and beyond.

• Ethereum is expected to break historical highs, as the smart contract platform benefits from regulatory clarity.

• Traditional financial institutions and large tech companies may become more deeply involved in the Crypto Assets market.

• The integration of Layer 2 ecosystems and DeFi with traditional finance is expected to usher in explosive growth.

Overall, the crypto market is expected to perform well in the long term by 2025, but the way the positive news materializes may differ from expectations. Entrepreneurs should seize opportunities, and investors should not be influenced by short-term fluctuations.