u.today
A seasoned data scientist unveiled a number of trends that might dominate in the cryptocurrency segment during its next rally. Some of them are already making waves in 2023 while others are just taking shape.
Fintech/crypto, betting, gambling, RWAs: Trends you should not miss
As per the thread shared by Svanevik on X, various segments of crypto innovation might see inflow of capital in the coming bullish rally. First, it is the synergy between "fintech frontends" and "crypto backends." The release of PayPal's stablecoin on Ethereum (ETH) is a major symbol of this narrative coming.
Been asked about crypto going forward.
— Alex Svanevik 🐧 (@ASvanevik) October 6, 2023
Below are 6 themes I think will play a role in the next cycle.
🧵
Also, with the growing adoption of resource-efficient, fast and cheap second-layer solutions, the spheres of crypto gambling and betting will gain traction. The success of crypto gambling app Rollbit might be a predecessor for this trend.
Then, the tokenization of real-world assets, especially short-term debt obligations (T-bills), will be in the spotlight in the coming months. While many teams are busy researching and developing some concepts in this sphere, promising products might be released by giants:
Tokenized T-bills may actually eat a lot of stablecoin supply! Would be surprised if Circle, Tether don’t move here
Then, not unlike what happened in the previous bullish rally, cryptocurrency-based gaming protocols will be of paramount importance for the Web3 segment. After two years of building, some projects might release Web3 games in the coming six months.
Svanevik mentioned Axie Infinity (AXS) and Mix Mob as the games he is "backing" now.
SocialFi, hybrid NFTs and liquid staking derivatives might gain steam
Also, he is optimistic about the promises of SocialFi, the hottest trend in crypto of Q4, 2023. While proper success might take a number of iterations and forks, this trend will not vanish in the bullish phase of market progress, analyst says.
As covered by U.Today previously, the leading SocialFi app Friend.tech exceeded Bitcoin (BTC) and Ethereum (ETH) in daily fees, while its Avalanche-based competitor Stars Arena was hacked two times in less then 72 hours.
Then, the success of "physical" NFTs by Pudgy Penguins might also start a powerful trend, Svanevik concluded.
When asked about the prospects of liquid staking derivatives (LSDs) protocols, the analyst also expressed long-term optimism.