Mike's Web3 World Weekly #1
The market showed signs of a modest recovery, with the total market cap rising slightly from $2.12 trillion to $2.34 trillion.
Additionally, the Fear and Greed Index moved from the lower neutral bound to the upper neutral area.
Source: CMC
Source: CMC
Top Gainers and Losers
Though $WLD rebounded 42%, the community questioned whether they were trying to manipulate the price. There was an abnormal rise in price just before the team announced the new policy of their token unlocks. More info is below…
Source: CMC
Important information or content for this week
Worldcoin Price Control, Misdirection - @DefiSquared
It’s common in the crypto market for startup teams to suddenly change their policies. Just eight days ago, the Worldcoin team did this without consulting their token holders; there was no vote on the decision. They simply dropped an announcement on their website, which is unacceptable in the Web3 world where we strive for a society with decentralized power.
I personally held a short position in $WLD for a long time, and the profits vanished because of the unexpected unlock extension. The worst part was the abnormal bid power right before the announcement, indicating possible insider trading and price manipulation.
My takeaway is to always remember that there is counterparty risk in the early investment market. This is why people are disappointed with Web3: it should be an efficient market, but it often appears to be inefficient.
ETHCC takeaway
There are some ETHCC attendants wrote their takeaway, here are some selected two of them:
Reflection of the current state of the industry - @0xtommy_eth
Tommy is one of the investors in crypto.com ventures, he brought insightful observations about the crypto industry.
Thought and Reflections on ETHCC - @DeFiDave22
Dave is the head of North America @dinero_xyz. His reflections not only describe the market trend but also point out some important players.
Others
Reflection on Solanna - @MichaelLars9
It’s not surprising that some investors didn’t attend the pump party in Solana. They believed ETH should dominate the market due to the numerous significant projects running on ETH. In contrast, what happened in Solana was essentially a meme tokens party.
Michael pointed out that:
Solana’s trading volume has surpassed ETH’s.
Most trading on ETH is arbitrage, while on Solana, it’s meme token trading.
Though there are no killer applications on Solana, developers might tend to build there because users are already concentrated.
Another source to reference is the latest Bankless video, 'ETH vs. SOL,' where Michael Nadeau (another Michael, lol) analyzes important metrics about these two L1s.
The future is cross-chain and ERC-7683 helps us get there - @Uniswap
Crga’s innovative strategies - @kenodnb
The Little Tech Agenda: Biden vs. Trump - @a16z crypto
a16z is pro-Trump because Trump seems to be pro-crypto and pro-startups.
a16z has tried to have a meeting with Biden, but no matter how hard they try, they fail to contact the president.
Ben and Marc also talked about AI and biotech and their experience with two presidential candidates. It’s a very interesting and insightful video, highly recommended to watch!
Conclusion
Almost all posts related to ETCC point in the same direction: In the past, VCs tended to invest in low-volatility, high-FDV infrastructure projects. That era is over, and now VCs are looking for disruptive applications.
Next week, we will focus on applications that have recently secured funding.
Additionally, macroeconomic factors also influence market direction. Investors need to pay attention to the potential interest rate cuts in September and the U.S. presidential election.