A Few Thoughts on the Crypto Bear Market
We are at maximum depth: almost everyone who wanted to sell has already sold. What we are still missing is marginal buyers.
Fundraising is currently quite weak, especially at the early stages.
Teams are shutting down everywhere, mainly due to a lack of funding or poor product-market fit (PMF).
There is a huge gap in early-stage funding — which could make this one of the best times to invest.
Two types of blockchains are surviving: general-purpose community-driven blockchains (ETH and SOL), and distribution-driven blockchains (Base, Robinhood, Tempo, BSC).
The teams that have survived are now extremely product-focused: better trading execution, improved UX, and a stronger focus on mobile.
There are fewer traders left, but the ones who remain are extremely smart and capable of making money in any market environment.
Memecoins — the currencies of internet culture — will come back when the macro environment shifts and capital starts moving away from AI.
Crypto is now simply a financial market, with four markets that have found product-market fit:
• Memecoins & spot: Solana / Robinhood
• Perpetuals: Hyperliquid
• Yield: Ethereum
• Prediction markets: Polymarket
The market may feel dead right now.
But historically, this is exactly when the strongest foundations are built.
We are at maximum depth: almost everyone who wanted to sell has already sold. What we are still missing is marginal buyers.
Fundraising is currently quite weak, especially at the early stages.
Teams are shutting down everywhere, mainly due to a lack of funding or poor product-market fit (PMF).
There is a huge gap in early-stage funding — which could make this one of the best times to invest.
Two types of blockchains are surviving: general-purpose community-driven blockchains (ETH and SOL), and distribution-driven blockchains (Base, Robinhood, Tempo, BSC).
The teams that have survived are now extremely product-focused: better trading execution, improved UX, and a stronger focus on mobile.
There are fewer traders left, but the ones who remain are extremely smart and capable of making money in any market environment.
Memecoins — the currencies of internet culture — will come back when the macro environment shifts and capital starts moving away from AI.
Crypto is now simply a financial market, with four markets that have found product-market fit:
• Memecoins & spot: Solana / Robinhood
• Perpetuals: Hyperliquid
• Yield: Ethereum
• Prediction markets: Polymarket
The market may feel dead right now.
But historically, this is exactly when the strongest foundations are built.