A look at the current six major narratives: the next direction of liquidity

Reprinted from panewslab

03/10/2025·2M

Author: Game , Encryption KOL

Compiled by: Felix, PANews

When the market is flat, it is a good time to make a plan: think carefully about what will happen next, where the narrative is formed, and where liquidity will eventually flow.

1. ETH staking revival

ETH needs a lifeline, and pledge is the only narrative that can save it.

In line with the current macro situation: returns are king, and investors hope to obtain cash flow in a bleak environment.

$LDO, $RPL are obvious proxy games, but due to the lack of schedule, time is everything.

BlackRock CEO Larry Fink has pushed this narrative and may push it again. With cryptocurrency-friendly management agencies, incentives will be introduced one after another.

No one wants to reveal: uncertainty keeps people on the sidelines, but it will develop rapidly once the right fund manager or analyst starts to act.

2. Large token ETFs (LTC, HBAR and Betas)

$LTC, $HBAR, and $XRP are all in the ETF application process.

The most likely story is "buy when rumors start, sell when news comes out." There is no expected large inflows, but correct positioning can still yield rich rewards.

If the news announcement is released too quickly, liquidity will shift quickly and exit will become tricky. The best case scenario is to stagger approval of ETFs so that you can rotate properly.

Seize the opportunity carefully and don’t be the last person to hold it.

3. Repurchase Club (fee switch and repurchase)

MKR has previously risen 200% due to buybacks, and AAVE has risen 30% in the days after the announcement of the buybacks.

Hyperliquid → Repurchase $600 million per year
Jupiter → Repurchase $250 million per year
Ethena → Fee Switch is coming soon

Reduced supply and reduced selling pressure.

Reflexivity (the circular relationship between causality) comes into play: Repurchase pushes up prices → incurs more expenses → fund larger repurchases → cycle.
Very narrative: traders are taking the lead in buying back, which will only speed up the entire cycle.

More agreements will follow: Repurchase and fee switches are becoming the preferred strategies for price increases.

Trading based on news, do not trade in the middle of the curve, do not take profit too early, and study previous price behavior.

Priority is given to new/breaking news announcements over past ones. (The $HYPE buyback is well advertised, but it has already worked and new catalysts are important)

4. RWA and tokenization

The previous $ONDO has been started. The new "game" will be the focus.

This narrative is perfectly in line with TradFi’s interest in tokenization.

Current watch list:

$PLUME: New, powerful narratives will appear on the mainnet soon
$AERO: Items that most people haven't noticed yet. If Base continues to build its own blockchain, it will be a "favorable" trading opportunity given its strong ecological connections and recent direction shifts.
$SYROP (formerly MPL): Added to the Coinbase roadmap and may be available in a few weeks.

More quality projects may appear in the future. RWA is a category worth watching closely.

5. Robotics and Possible AI 2.0 Transactions

Figure AI (a company dedicated to the development of autonomous universal humanoid robots) has already taken the lead in the humanoid robot field. Tesla is turning vigorously to automation, which is basically the company's full bet at the moment.

The narrative is simple: productivity gains = companies save costs, which is attractive in the case of slowing economy.

The risk is still high, but meta is forming.

On-chain exposure is limited but will grow, and it is currently mainly early-stage basic projects.

The current opportunity is to find a virtual robot proxy. A similar situation has happened before: the robot itself may be completely useless, just like all garbage robots, but infrastructure is the real deal. (No need to show the substance, as long as someone else is using it)

If the price is cheap enough and has an advantage in your analysis, enter now or keep an eye on it and react at any time.

6. Other sovereign states participate

At present, cryptocurrency trading is entirely dependent on US decisions: policies, ETF traffic, regulations.

If other T1/T2 countries intervene, they will break the US's dominance and trigger a new hoarding contest.

This narrative is unpredictable, but once it happens, the market changes rapidly.