Year in Stock: Core Forces Driving Crypto Market Growth in 2024

Written by: Lei, Golden Finance

In 2024, the cryptocurrency market will usher in remarkable growth, with multiple tokens and projects emerging with technological breakthroughs, community support, and practical applications, redefining the future of the industry. From the innovation of decentralized finance (DeFi) and Layer-1 blockchain to the deep integration of AI and blockchain, each track shows strong vitality and differentiated advantages. These trends not only highlight the huge potential for diversified development of the crypto market, but also open a new window of opportunity for investors. However, in the process of chasing high returns, investors need to be clearly aware of the high volatility of the crypto market and carefully evaluate the actual value and long-term sustainability of each project.

Bitcoin

Bitcoin (BTC)

Category: Store of value, digital gold

Gain: +120% (above $100,000 mark)

Driving factors:

• Institutional adoption: MicroStrategy, Tesla and other institutions continue to increase their Bitcoin holdings, and financial institutions and sovereign wealth funds are increasingly recognizing Bitcoin.

• Regulatory Clarity: The approval of a Bitcoin ETF increases market confidence and attracts more institutional investors.

• Hedging against inflation: Bitcoin is seen as a hedge against fiat currency devaluation and geopolitical risks, especially in emerging markets.

Data performance:

• Market value: Bitcoin’s market value continues to remain above US$2 trillion, dominating the market.

• Price Growth: In 2024, Bitcoin price exceeded $100,000, setting a new all-time high.

Layer1

Ethereum (ETH)

• Category: Smart Contract Platform, Layer1

• Increase: +87%

Driving factors:

• Ethereum 2.0 Transition: The transition to a proof-of-stake (PoS) mechanism significantly increases network scalability and reduces energy consumption.

• DeFi and NFT dominance: Ethereum remains the core platform for DeFi and NFT, and its ecosystem continues to grow.

• Layer 2 solutions: The launch of Arbitrum, Optimism, etc. has improved transaction throughput and reduced transaction fees.

Data performance:

• Market value: The peak market value of Ethereum is close to US$450 billion, and the total locked value (TVL) of DeFi exceeds US$100 billion.

• Market share: Ethereum controls about 70% of the DeFi market share, and many leading platforms (such as Uniswap, MakerDAO) are running on Ethereum.

Solana (SOL)

• Category: High-speed blockchain, smart contract platform

• Increase: +134%

Driving factors:

• Speed ​​and scalability: Solana has become the preferred platform for DeFi, NFT and Web3 applications with a throughput of 50,000 transactions per second and low transaction fees.

• Institutional investment: venture capital support such as Andreessen Horowitz, and integration with large platforms such as Google Cloud.

• Ecosystem growth: The rapid expansion of the Solana ecosystem covers multiple fields such as DeFi, NFT, and games.

Data performance:

• Market value: Solana’s market value exceeds US$110 billion.

• Price Growth: Solana price breaks through $255, setting a new all-time high.

Sui ($SUI)

• Category: Layer-1 Blockchain

• Increase: +516%

Driving factors:

• High scalability and low fees: Using the unique Move programming language, it provides a high-speed and low-fee trading experience.

• Grayscale Sui Trust: The partnership with Grayscale has significantly increased Sui’s awareness among institutional investors.

Data performance:

• Sui's ecosystem is growing rapidly, attracting multiple developers and projects to join. Established stablecoin partnership with Binance. The amount of ecological TVL locked has increased by more than 6 times.

DEX & Middleware

Chainlink (LINK)

• Category: Oracle, data layer of smart contracts

• Increase: +80%

Driving factors:

• Key technical role: Chainlink provides decentralized oracles for smart contracts, ensuring seamless connection between blockchain and real-world data.

• Partnerships: Cooperation with platforms such as Ethereum, Polkadot, and Solana strengthens its applications in cross-chain and decentralized finance (DeFi).

Data performance:

• Market value: Chainlink’s market value exceeds US$28 billion.

• Usage: Chainlink’s oracles provide support for thousands of smart contracts, with the total cross-chain transfer value exceeding $287 million.

Aerodrome ($AERO)

• Category: Decentralized Exchange (DEX) Tokens

• Increase: +2,083%

Driving factors:

• Innovative liquidity pool: The introduction of Slipstream liquidity pool has greatly improved the attractiveness of trading and liquidity providers.

• Base network integration: Integration with the Base network provides solid technical support for DeFi transactions and token exchanges, driving market performance.

Data performance:

• Aerodrome’s innovative liquidity pool positions it as a leader in the decentralized exchange space. TVL lock-up volume increased by more than 10 times.

AI Agent+MEME

Goatseus Maximus ($GOAT)

• Category: AI&Meme Token

• Increase: +415%

Driving factors:

• Integration of artificial intelligence: GOAT is not just a typical Memecoin, it combines the functions of AI with decentralized finance (DeFi) capabilities, enhancing its technological uniqueness.

• Memecoin culture: As a member of Memecoin, GOAT is driven by the "cultural craze" of MEME on the one hand, and on the other hand, it has formed differentiated competitiveness from traditional Memecoin by virtue of its interesting brand image and innovation combined with AI.

• Community promotion: GOAT further enhances community members’ participation in tokens and loyalty to the project through the decentralized autonomous organization (DAO).

Data performance:

• The daily trading volume of GOAT tokens has hit all-time highs on multiple decentralized exchanges (DEX) and centralized exchanges (CEX), with the peak reaching nearly $500 million, showing the market's high level of attention to it.

ELIZA

• Category: Early Chatbot/AI Token

• Increase: +23,873%

Driving factors:

• Technological Innovation: ELIZA is described as an open source modular architecture for building AI agents that interact seamlessly with users and blockchain systems, demonstrating how it is technically different from other tokens.

• Financial incentives: 10% of tokens are distributed to snapshotted platform users, showing ELIZA’s strategy of motivating community participation through the distribution mechanism.

• Human-computer dialogue research: ELIZA was developed to study human-computer dialogue and the important cognitive processes of interpretation and misunderstanding.

Data performance:

• After ELIZA was launched, its market value exceeded US$80 million in a short period of time, reaching a maximum of US$120 million, indicating the market's rapid acceptance and investment enthusiasm. The current price is $62 million.

Virtuals Protocol (VIRTUAL)

• Category: AI and Metaverse Protocol/AI Token

• Increase: It has risen approximately 8043.52% in the past 90 days, with a market value of US$2.44 billion.

Driving factors:

• Artificial Intelligence and Metaverse Integration: Virtuals Protocol is committed to transforming virtual interactions through its AI and Metaverse protocols, providing co-owned, human-curated, plug-and-play gaming AI infrastructure.

• Rapid deployment of AI agents: The project allows users to deploy their own AI agents (using their own tokens) in just 5 minutes, enhancing its appeal in the fields of artificial intelligence and the Metaverse.

Data performance:

• The price of VIRTUAL tokens has recently reached a record high, with its market value exceeding US$3 billion. VIRTUAL tokens are already traded on several cryptocurrency exchanges including Bitget, BiKing, Hibt, BitMart, and BingX

ANIMAL MEME

Dogecoin ($DOGE)

• Category: Meme Tokens

• Increase: +356%

Driving factors:

• Star power: With the support of celebrities such as Elon Musk, Dogecoin gained widespread recognition on social media and actual transactions.

• Community Support: A strong and active community, with ongoing development and activities keeping the token attractive.

Data performance:

• Dogecoin’s wide range of application scenarios, including micropayments and tipping, has driven its price growth. The market value ranks first in the MEME sector.

dogwifhat ($WIF)

• Category: Meme Tokens

• Increase: +1,828%

Driving factors:

• Community-driven growth: With strong community support and social media marketing, dogwifhat has quickly become one of the most popular meme tokens.

• Decentralized features: The decentralized management of tokens has attracted the participation of a large number of community members, driving up the price of tokens.

Data performance:

• Dogwifhat’s community activity and decentralized features have helped it become a popular project in the market. The 24-hour trading volume is close to $1 billion.

Pepe ($PEPE)

• Category: Meme Tokens

• Increase: +1,794%

Driving factors:

• Strong community support: Pepe has expanded its market visibility through airdrops and community activities, and has received large-scale community support.

• Social media influence: Using the power of social media, Pepe attracted a lot of attention, driving demand and price increases.

Data performance:

• Pepe's ongoing community activities and social media marketing provide it with strong market momentum. The market value climbed to No. 3 in the MEME sector.