One analyst believes that the rise in token sales suggests that the great upswing has already begun
Recent months have seen an influx of new funds into the crypto-currency markets, ranging from over-demand token sales to 100% price gains for tokens such as Cardano (ADA), Chainlink (LINK) and VeChain (VET).
But does this herald the beginning of a new bull market, or is it just another bubble waiting to burst? A little bit of both, according to a Twitter thread posted on July 24th by Simon Dedic, co-founder of the cryptomoney research house, Blockfyre.
„We live in an alt-season similar to 2017,“ says the CEO of Transfero Swiss
The big bulls are back
The current climate on the cryptomoney scene is in many ways reminiscent of the ICO boom of 2017. Many new projects are emerging, with token sales running out in hours, especially in the field of decentralised finance.
Established projects, or at least the strongest ones, are showing three-digit increases in their token values, leading to Chainlink being dubbed the „Tesla“ of cryptomoney. Speaking of Tesla, leader Elon Musk has been messing with Dogecoin (DOGE), along with perhaps the more unlikely champion, the social networking application, TikTok.
The cream always rises
Dedic agrees that DeFi’s latest craze is reminiscent of the ICO mania in 2017, and believes it is likely to develop in a similar way:
„It’s a narrative. Many interesting concepts emerge that could change the financial sector. However, many useless cash appropriations will also do so.
Stronger projects will survive, however, and Dedic sees the current money coming into Chainlink and VeChain as a vindication of this:
„Both projects were in 2017, had an initial propaganda phase (like DeFi currently has), then came the downturn and quietly focused on building their product.
Of the current crop of DeFi projects, those that have captured Crypto Comeback Pro interest have been DMM Dao, Aleph, DecentR and DeFiPie. It remains to be seen whether all of them will be successful in the long term, but „all of these projects have very interesting approaches to impacting the space of decentralized financing.
Ether’s price is approaching $300 as Bitcoin and DeFi tokens drive the new upswing