Crypto Market Weekly Report: New Opportunities in the AI Sector, Trump's Policies Trigger Market Fluctuation

This week, the crypto market showed a wide fluctuation trend, with the market sentiment index dropping to 10%, entering an extreme fear zone. The market capitalization of stablecoins continues to grow, indicating that institutional funds are still entering. Trump did not promptly introduce cryptocurrency-related policies after taking office, raising concerns in the market. Although Trump subsequently issued the cryptocurrency bill and repealed SEC SAB-121, it failed to significantly boost market sentiment.

The DeFi sector performed outstandingly, with TVL increasing by 0.56% to 53.8 billion USD. This is mainly attributed to the rise in the prices of underlying assets and project token incentives, with on-chain APY generally improving. Projects like Sumer.money and Meteora saw significant increases in TVL, as investors refocused on the fundamental returns of DeFi.

The AI sector is affected by Trump's $500 billion AI infrastructure plan, with a total market value reaching $41.9 billion at one point, but then it fell back. Projects like Virtuals Protocol and Swarms continue to promote technological innovation, laying out autonomous trading agents, multi-agent collaboration frameworks, and more. Emerging fields such as TEE technology applications and agent economic systems are gaining attention.

The focus of the meme coin market is on the TRUMP and MELANIA tokens issued on Solana by Trump and Melania, leading to a significant drop in other meme coins. Solana and Tron public chains performed exceptionally well, especially as the supply of stablecoins on the Solana chain hit an all-time high.

Looking ahead to next week, the market will focus on the Federal Reserve FOMC meeting, the PCE price index, and earnings reports from tech stocks. The market is expected to maintain a fluctuating trend, but investors are generally optimistic about the opportunities that will arise after February with the clarification of encryption policies. The DeFi and AI sectors are expected to continue benefiting from fundamental improvements and policy support, while competition in the public chain ecosystem will further intensify.