The AI Track Remains Hot | Crypto Market Weekly Report

Market Overview

This week, the crypto market has shown an overall upward trend, and market sentiment has improved. The market sentiment index has risen from 10% last week to 19%. Although it is still in the panic zone, it has begun to show signs of recovery. Despite the fact that market liquidity has not fully recovered during the New Year's holiday, funds have started to gradually flow back into the crypto market.

The total locked value of DeFi projects ( TVL ) rose from 52.7 billion USD to 53.2 billion USD last week, an increase of 0.95%, ending two consecutive weeks of negative growth. The machine gun pool projects and prepaid DEX projects performed well, primarily benefiting from increased yields due to rising market base interest rates and increased demand for contract trading caused by reduced liquidity during the holiday period.

The AI Agent track continues to maintain its status as a market hotspot, with a market size reaching 12.2 billion USD and a week-on-week growth of nearly 12%. Market attention has gradually shifted from AI Meme to AI infrastructure construction projects, with AI Agent's self-issued tokens becoming the most关注的领域, and related infrastructure projects like Phala Network performing outstandingly.

This week, the Meme coin market is mainly focused on AI-related projects, benefiting from the wealth effect brought by AI Agent's autonomous coin issuance, leading to significant gains for AI Meme projects. This trend reflects that market funds are chasing AI-related concepts, but it also shows an increase in speculative characteristics.

Public chain projects performed well in this week's market rebound, mainly benefiting from the increase in on-chain DeFi project APY and the demand for AI project development. Among them, public chains that support AI development, such as Solana and zkSync Era, have shown outstanding performance, indicating that public chains are evolving towards AI infrastructure.

Hot Tracks

AI Agent

The AI Agent track continues to be the focus of market attention, mainly due to the AI Agent's ability to issue its own tokens. Some Meme coins issued by Virtuals and ai16z have seen significant increases, creating a certain wealth effect and attracting market investors' attention and funds to the AI Agent's self-issued tokens.

The hottest in the market are the ai16z asset issuance platform and the AI Agent's self-issued currency infrastructure project, Phala Network. Market attention has shifted from AI Meme to AI infrastructure, and projects in the AI infrastructure track are worth focusing on in the future.

DeFi track

Over the past week, projects with a rapid growth in TVL are mainly concentrated in the gun pool projects and prepaid DEX projects. Notable projects include:

• Resolv:Delta neutral stablecoin project launched a new type of liquidity pool this week and completed cross-chain expansion to the Base network.
• Bluefin: Sui chain DEX, completed Sui Bridge integration, supports suiUSDT cross-chain.
• StakeStone: A comprehensive liquidity infrastructure supporting multi-chain access through Berachain Vault.
• Euler: The lending protocol has reached a level of weekly active users comparable to Compound.
• Hyperliquid: High-performance DEX, mainnet launch of staking feature, added support for AI-related token leveraged trading.

public chain

Public chain projects performed well in this week's market rebound, mainly benefiting from the increase in on-chain DeFi project APY and the development demand for AI projects. Outstanding public chains include:

• Zircuit: Collaborating with the AI team to develop smart vaults and multi-chain trading infrastructure.
• Hyperliquid: Launched staking feature, added support for AI-related token leveraged trading.
• Toncoin: Develops a permissionless bridging solution for BTC, USDT circulation exceeds 1 billion USD.
• zkSync Era: Released the declaration "2025 is the year of ZK", emphasizing the development of ZK technology.
• Solana: Launched the AI Agent Kit development toolkit, multiple GameFi projects announced their development plans for 2025.

Market Performance

Gainers List

The top 5 tokens with the highest price increase in the past week ( do not include tokens with too small trading volumes and meme coins ):

1. AI16Z: Released version 0.1.7 update, added support for multiple chains, market value exceeded 2 billion USD.
2. ATA: Successfully brought TEE technology on-chain and collaborated with EigenLayer to develop the Multi-Prover AVS system.
3. GRIFFAIN: Launched the SAIMP open standard protocol, allowing AI agents to send messages on the public blockchain.
4. VIRTUAL: GAME framework usage surged, protocol revenue reached 60 million dollars.
5. PHA: Release of the 2025 TEE x AI Technology Report, announcing adjustments to the network architecture.

Meme Token

This week, the Meme sector's increase is mainly concentrated on AI-related AI Meme projects, benefiting from the popularity and wealth creation effect of AI Agent's autonomous token issuance projects.

Future Market Outlook

Next week, the market will welcome the release of U.S. employment data, which may influence the Federal Reserve's decision on interest rate cuts and is expected to bring market volatility. As the holiday comes to an end, institutional investors are expected to return, and market liquidity is likely to recover.

Investment strategy recommendations:

• Maintain a defensive allocation, increasing the allocation proportion of top assets such as BTC and ETH.
• You can moderately participate in high-yield bullet pool and prepaid DEX projects.
• Focus on AI Agent's autonomous token issuance and related infrastructure projects
• Strictly control positions and manage risks.

Overall, the market is gradually warming up, but caution is still required. The AI sector remains hot, DeFi projects are beginning to recover growth, and public chains are developing towards AI infrastructure. Investors should closely monitor macro factors such as U.S. employment data while seizing investment opportunities in hot sectors like AI and DeFi.