Top 3 Crypto Narratives in the Last 7 Days

Narratives play a huge role in deciding what direction the crypto market takes. Narratives refer to trending ideas within the market that direct market sentiment, investment choices, etc. For example, Ethereum’s value has surged in recent days thanks to a flurry of applications for a spot ether ETF.

Certain sectors and crypto projects have seen more activity in recent days due to the narratives surrounding them. Narratives can cause a temporary price surge. Bitcoin has seen a resurgence since it became possible that the SEC could approve a spot Bitcoin ETF.

But sometimes these price surges are short-lived. Nonetheless, it’s important to know what part of the market is trending and the affected projects. Let’s look at some major narratives from the last week.

1) Layer 1 tokens

Layer 1 chains serve as the foundation for all blockchain layers. They provide the infrastructure for the protocols and applications launched on the network. Layer 1 is the primary layer for maintaining the distributed ledger, protecting the network from threats, and validating transactions.

Layer 1 tokens are one of the trending narratives in the crypto market. The Layer 1 (L1) market cap today is $1.08 trillion. Some of the biggest gainers in this sector are:

2) Smart Contract Tokens

According to CoinGecko, investors have turned their attention to smart contract tokens. Smart contract platforms are blockchains that host smart contracts, or dapps. These platforms enable users to interact with different smart contracts to perform actions such as:

  • Lending and borrowing funds.
  • Staking their assets.
  • Minting NFTs.

Smart contracts are programs on a blockchain that are automatically executed when certain conditions are met. Different platforms have different requirements to interact with smart contracts. For some, transaction fees are a requirement. In most cases, the smart contract platform’s native token is used to settle transaction fees. The Smart Contract Platform market cap today is $389 billion. Some of the biggest gainers are:

  • Aventus.
  • Interlay.

3) Stablecoins

Stablecoins are assets pegged to the value of a fiat currency such as the dollar, euro, or pound. According to CoinGecko, the stablecoin market has surged in value in recent days. Stablecoins are less vulnerable to price volatility.

Several top organizations have shown interest in the stablecoin space. For example, PayPal recently launched the PayPal USD stablecoin. At the time of writing this article, the stablecoin market had a market capitalization of $127,6 billion. USDT and USDC are two of the biggest gainers in this sector.

Coins Considered Securities

Certain coins deemed securities by the SEC have soared in recent days. There’s no determined reason for this. However, many believe that the SEC’s defeat to the likes of Ripple and Grayscale might have triggered interest in such tokens.

According to CoinGecko, Near Protocol, Axie Infinity, and Kin are some of the biggest gainers from this sector right now. It is important to say that these tokens are not securities until proven in court.

The information discussed by Altcoin Buzz is not financial advice. This is for educational, entertainment, and informational purposes only. Any information or strategies are thoughts and opinions relevant to the accepted levels of risk tolerance of the writer/reviewers and their risk tolerance may be different than yours. We are not responsible for any losses that you may incur as a result of any investments directly or indirectly related to the information provided. Bitcoin and other cryptocurrencies are high-risk investments so please do your due diligence. Copyright Altcoin Buzz Pte Ltd.


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