2026-01-21 05:23:35

The market performance over the past couple of days has indeed been interesting. The trend mainly revolves around major announcements; where positive news emerges, funds tend to flow there. For example, when certain project teams announce progress in fundraising or ecosystem development, related concept sectors immediately surge, with one limit-up after another, and the index also rebounds significantly.

In the DeFi and Layer 1 public chain sectors, several important projects that resumed trading recently have attracted a lot of attention. The anticipation accumulated during the suspension was released instantly upon resumption. The trading strategies of hot money targeting these focal projects are well understood—aiming for rebounds, bottom-fishing, and in the short term, these sectors are still likely to move higher.

Besides these news factors, the market is currently also consolidating around another theme: safe-haven assets. Changes in the international situation have stimulated demand for secure assets, with precious metals and stablecoins beginning to be valued more. From a macro perspective, when tech assets undergo adjustments, funds naturally flow toward safe-haven directions.

When the market was rising earlier, it was one hand bullish on on-chain ecosystems and one hand deploying DeFi mining; now during the correction phase, one hand remains invested in stable blue-chip coins, and the other focuses on protocols with real yields—mainly those with stable TVL and attractive returns. The market is still consolidating, with high-level Layer 1 and popular DeFi projects digesting recent gains, making blue-chip coins the focus.

When will the correction truly end? It depends on when those high-level projects stabilize. On-chain applications related to business use cases and AI are currently just resisting the correction; after continuous declines, there are signs of a bottoming out, but whether they can stabilize remains to be seen. However, today's rebound in these projects is indeed a good signal.

DEFI-2,66%

View Original

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.

11 Likes

Reward
11
7
Repost
Share

Comment

0/400

ILCollector

· 01-21 05:53

It's the usual hype-driven rally based on news, funds just love chasing hot topics. The anticipation from resuming projects depends on how long they can sustain it. A bunch of people are hyping safe-haven assets, but I think most of them still have nowhere to go, they don't genuinely believe in stablecoins. Blue-chip coins are indeed stable, but where's the profit? It's still those high TVL projects that are more attractive.

View OriginalReply0

PessimisticOracle

· 01-21 05:52

Whales' tricks—who doesn't understand them? It all depends on how long they can keep fooling people. --- Once again, a rally driven by news; the inevitable correction can't be avoided. --- Stablecoin as a safe haven? Ha, let's see what happens after the next crash. --- I don't have the guts to bottom fish blue-chip coins; they need to fall another couple of waves. --- Projects stabilizing on Layer 1? I think they're just fooling themselves. --- AI chain applications bouncing back as signals? Before breaking support, it's all traps. --- TVL with stable returns are stories of the past. --- It's still early to tell if the correction is over; this rebound is just a dead cat bounce. --- A surge right after financing news hits the daily limit; how long will this round of retail investors keep getting cut? --- Stop-loss ≠ bottom; don't be fooled into thinking the rebound means the bottom is in, brother.

View OriginalReply0

DecentralizeMe

· 01-21 05:51

The tricks of hot money are like this: as soon as the news comes out, they rush in, but only gamblers have that mindset to hold until the end. Stablecoins and blue-chip projects are quite interesting this time; finally, someone is starting to look at real returns. AI applications still need to wait a bit longer; a rebound doesn't mean the bottom has been reached. I won't jump in so quickly. A project stabilizing at a high level is the real signal; it's still too early to talk about the bottom now.

View OriginalReply0

fren.eth

· 01-21 05:47

Who doesn't understand the tricks of speculative trading? It all depends on who can run faster.

View OriginalReply0

just_vibin_onchain

· 01-21 05:45

It's another case of news driving the momentum, the funds are just like this, hehe.

View OriginalReply0

CountdownToBroke

· 01-21 05:44

Damn, it's the same old hype about news, is it really that easy to fool the funds? Wait, stablecoins are so popular now, why am I still going all-in on DeFi... Are blue-chip coins really stable? It feels like they're also dropping? Resuming trading and then pumping, classic move, who doesn't know that? Can AI chain applications really stay stable? I have my doubts. During the suspension, expectations were built up too high, and once trading resumes, it's just a matter of the bagholders getting caught. I only half believe in this recovery signal; we still need to see when high-positioned projects truly stop bleeding. The tricks of retail funds are the same, no new ideas. Stablecoins and precious metals are competing now—are they really scared, or what?

View OriginalReply0

GasFeeVictim

· 01-21 05:41

The tricks of the short-term traders are the same old story. Don't pretend you don't know. They push it up briefly and then run. The ones left holding the bag are always retail investors.

View OriginalReply0