The DeFi sector has struggled over the last year for various reasons, and the once magma-hot Metaverse trend has cooled off considerably.
These disruptive emerging assets aren’t dead, markets are simply cyclical, and interest in these futuristic technologies will return again in a significant way.
But there is no telling when the ongoing crypto winter will end and a new bullish trend will begin. This makes profiting from these coins much more challenging — unless you have access to PrimeXBT.
Metaverse Loses Momentum, But Here’s Why It Isn’t Going Anywhere
To further demonstrate the staying power these cryptocurrency-based technologies possess, you need to look no further than Facebook and Instagram parent company Meta. Mark Zuckerberg, a pioneer in social media and tech visionary, is going all in on the Metaverse and VR with integration centered around Oculus.
This makes Metaverse coins like Decentraland and The Sandbox ultra-appealing to tech-savvy investors with a forward-looking focus. Both Metaverse platforms have tremendous support from notable names like Snoop Dog, Gucci, JP Morgan, Adidas, and others.
DeFi Falls Into Downtrend, But Billionaires And $100B In TVL Says It Won’t Last
DeFi might not have the centralized support from enormous brands like the Metaverse does, but that’s because the decentralized finance sector doesn’t need any intermediaries – which is the whole point behind the technology. Crypto holders can use their tokens to access permissionless lending and borrowing with no credit checks, no approval process, or interaction with a human on the other side.
The decentralized finance industry once had more than $100 billion in total value locked in DeFi applications. During its prime, billionaire tech entrepreneurs like Mark Cuban regularly experimented with these platforms to generate a yield. The Shark Tank star, Dallas Mavericks owner, and more believe in the future of disruptive tech – why wouldn’t you?
How Is It Possible To Stay Safe With Such Volatile Speculative Assets?
The problem remains that these are still speculative assets. Although they show serious promise and, in the long term, will more than likely be fruitful for investors able to weather the storm, for the time being, cryptocurrencies are extremely volatile.
Newer crypto assets like Metaverse coins and DeFi tokens have been around a lot less time than Bitcoin or Ethereum and therefore have less overall liquidity and market capitalization. It is for this very reason that these assets can climb by thousands of percent in ROI, then later fall by more than 90%. This two steps forward, one step back approach is how price discovery works.
Stay Exposed To Trending Tokens While Focusing On Bitcoin, Ethereum, And Stablecoins
Rather than take a beating during the downtrends, hold safer coins like BTC, ETH, USDT, or USDC, and use the crypto assets as collateral to trade top Metaverse and DeFi tokens with leverage. Instead of holding…
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