Crypto Market Weekly Report: Analysis of BTC and ETH Trends This Week

This week, the overall trend of the crypto market is showing a fluctuating upward movement. Although BTC and ETH have seen slight increases, the market still lacks confidence in the future.

Bitcoin Trend

Bitcoin has been in a volatile upward trend overall this week. Despite a large transfer of BTC from a certain address, it did not trigger panic in the market. On Wednesday, Bitcoin experienced a surge, mainly influenced by the dovish signals released in the Federal Reserve's FOMC meeting minutes, which strengthened market expectations for a rate cut in September. However, due to a lack of long-term confidence, the price subsequently retraced, ultimately showing a volatile upward trend.

Ethereum Performance

Ethereum also showed a fluctuating upward trend this week, but the growth was weaker than Bitcoin. From the spot ETF trading situation, there was a capital outflow in Ethereum this week. In addition, the Ethereum ecosystem lacks new growth points, while other public chain ecosystems, such as Tron’s meme coins, have heated up, diverting some funds. Overall, Ethereum's performance this week was relatively weak.

Important Event Review

1. The Federal Reserve released the minutes of the July FOMC meeting, showing that most officials support a rate cut in September, which has strengthened market expectations for it.

2. The U.S. Bureau of Labor Statistics revised down the employment data for the past year, showing that the job market is not as strong as previously expected. However, the market believes this will instead prompt the Federal Reserve to cut interest rates in September.

3. A certain trading platform address has once again shown large BTC transfers, suspected to be compensation for previous victims. However, the market reacted calmly and did not trigger panic.

Altcoin Market Overview

This week's market sentiment index rose to 90%, moving from extreme fear into the extreme greed zone. Altcoins continued their rebound momentum from last week, showing significantly stronger performance than BTC and ETH. Most sectors exhibited a broad-based increase, but trading volume was low, lacking sustainability. In the context of overheated market sentiment, investors should be cautious of risks.

The top five tokens on the rise come from different tracks such as DEX, POW, cross-chain, and stablecoins, showing no obvious characteristics of sector concentration. Funds seem to primarily flow into individual projects with short-term benefits.

In terms of Meme coins, the overall increase is weaker than last week. The founder of a certain public chain publicly supports the Meme project, driving up the Meme coins on that chain. However, the popularity of Meme coins on other chains has明显降低, and the risk is continuously rising.

Popular Track Analysis

According to social media data, L1 blockchain projects have the highest level of attention, and most are in an upward trend. This may be a continuation of last week's rebound or the start of a new round of sector rotation.

According to weekly return statistics, the AI sector performed the best, while the SocialFi sector performed the worst. The AI sector began to recover after a period of stagnation, but trading volume remains low. The SocialFi sector, on the other hand, was affected by the pullback of major projects, resulting in an overall modest increase.

Outlook for the Next Week

1. Bitcoin may continue to maintain a wide-ranging fluctuating trend. Despite the downward revision of employment data, the Federal Reserve's dovish stance has offset some negative effects. The market remains in a wait-and-see state, and the purchasing volume of BTC is insufficient.

2. Ethereum may continue to oscillate in sync with Bitcoin. ETF funds continue to flow out, and the ecosystem lacks innovation and hotspots, making it difficult to attract new capital.

3. Altcoins may end this round of rebound and fluctuate in sync with the market. Although there is a general rise this week, the trading volume of leading tokens is relatively low, so caution is advised.

Overall, the market still lacks a clear direction, and investors are advised to remain cautious and pay attention to potential risks.