How to Research the Cryptocurrency Market Binance Research Reveals CPT Research Framework

Author: Stacy Muur, Cryptocurrency Researcher; Translation:
Golden Finance
xiaozou
Binance
Researchers at Binance have recently introduced their CPT (Capital, People, Technology) framework. According to the report “What’s Driving the Crypto Market?” released by Binance Research, the main structural driving factors that need attention are as follows.
Binance Research’s framework examines the market from three key perspectives:
· Capital: Inflows of funds from retail, venture capital, and traditional finance.
· People: Providing opportunities for individuals to actively participate and make money.
· Technology: Innovation and development activities.
Part 1: Capital
New capital is crucial for the widespread sustainable growth of the crypto market. Without new inflows of funds, investors must compete for returns in a zero-sum game, resulting in some benefiting while others lose out.
Key indicators to watch:
· Stablecoin market cap: Almost flat since April. (Source: DefiLlama)
· Fundraising: The amount of funds raised by projects has been decreasing over the past few months. (Source: RootData)
· Net inflows of spot ETFs have slightly slowed down: Although ETH ETF trading is expected to start next week, this has led to a slowdown in the growth of new capital. (Source: SoSoValue)
Part 2: People
Generating sustainable returns and profits is a primary motivation for many market participants. This section focuses on user’s active engagement with Web3 and motivations.
Key indicators to watch:
· Trading volume: Trading volume has decreased after reaching a yearly price peak in March. (Source: IntoTheBlock)
Personal recommendations:
· BTC & ETH: Number of new addresses.
For BTC, the number of new addresses has been decreasing since February 2024. For ETH, the number of new addresses peaked in April/May 2024. (Source: IntoTheBlock)
The decrease in trading activity is closely related to limited speculative opportunities, which is a result of the prevalence of low circulating supply and high valuation tokens. This market structure has provided little meaningful sustainable upside space for the broader market after TGE.
Part 3: Technology
From a high-level perspective, the latest developments in Web3 aim to attract the next billion users. This includes progress in scalability, chain abstractions, mainstream social and gaming applications.
However, most funds continue to flow into infrastructure to provide underlying support for broader technology.
Key indicators to watch:
Personal recommendations:
DefiLlama allows people to view the number of active developers for each project. Additionally, Cryptometheus ranks top cryptocurrencies based on GitHub developer activity.
Upcoming catalysts:
· Approval of spot ETH ETF
· Rate cuts
· U.S. presidential election and Bitcoin Conference
· Impact after Bitcoin halving
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Golden Finance
Source link: https://www.jinse.cn/blockchain/3692323.html
Note: The content of all articles posted represents the views of the author and does not constitute investment advice
Original link: https://www.bitpush.news/articles/6977022
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