The crypto market has significantly rebounded: Solana's development enters a new stage, and MC becomes a new hotspot in the AI track.

Market Overview

Market Overview

This week, the crypto market is showing an upward trend, with the overall market and most altcoins experiencing increases. Market sentiment has significantly improved, with the sentiment index rising from 55% to 79%, entering the bullish zone. The market capitalization of stablecoins continues the upward momentum from last week, continuing to climb (USDT reached 145.7 billion, USDC reached 61.9 billion, with increases of 0.62% and 2.32% respectively), indicating that institutional funds are increasing their entry, particularly with a focus on the growth of American funds, reflecting that this week's upward trend has greatly boosted the sentiment of American investors, prompting them to accelerate their entry.

This week's upward trend is mainly influenced by the easing of the US tariff policy towards China, Trump's statement that he does not intend to fire Federal Reserve Chairman Powell, and the new SEC Chairman Paul Atkins taking office and holding a friendly attitude towards the encryption industry, which has led to a significant rebound in the market this week. However, the market still faces the impact of the impending economic recession and tariff uncertainties in the US, so this week's increase can only be regarded as a rebound from the previous overselling and cannot yet be seen as a reversal of the market trend.

Next Week's Forecast Targets

Bullish targets: Solana, SNX

SOL: The Solana ecosystem is fully rebounding, with the rise of meme tokens, stablecoins, and decentralized trading platforms driving the recovery of the crypto market.

Meme token market rebounds

This week, as the market conditions improved, the trading volume of Meme tokens on the Solana chain has significantly increased. The number of purchased Meme tokens has consistently exceeded the number of sold tokens, driving a rapid recovery in on-chain data for Solana. This indicates that despite the previous retreat of the Meme wave causing losses for on-chain users, investors remain highly interested in Meme tokens. After the launch of PumpSwap, its daily trading volume gradually increased, maintaining between $300 million and $480 million, accounting for 9% to 19% of the DEX trading volume on the Solana chain, showing that the Meme market is gradually warming up. The activity in the Meme token market helps to boost the price of SOL in the short term.

On-chain stablecoin supply growth

The supply of stablecoins on the Solana chain has been rapidly increasing, currently surpassing 12.8 billion USD, setting a historical high. This growth reflects investors' confidence in the Solana ecosystem and the demand for on-chain liquidity support. The ample supply of stablecoins provides important liquidity support for financial activities on the Solana chain, promoting the development of the on-chain ecosystem. This liquidity not only enhances the activity of on-chain transactions but also offers investors more trading and investment opportunities.

Solana on-chain DEX trading volume growth

The decentralized exchange (DEX) on the Solana chain has seen a trading volume exceeding $3.5 billion in the past 24 hours, indicating a recovery in on-chain activity. The supply of stablecoins has also continued to grow, recently surpassing $18.2 billion. This reflects investor confidence in the Solana ecosystem and provides more liquidity support on-chain.

Solana decentralization policy

The Solana Foundation has launched a new policy to strengthen decentralization. For newly added validators in the delegation program, if certain validators have qualified for the Solana Foundation delegation on the mainnet for at least 18 months and have less than 1000 SOL staked outside of the Foundation's delegation, three of them will be removed. This policy aims to reduce reliance on the Foundation's delegation and encourage community-supported validators.

Institutional companies are increasing their holdings.

The Canadian publicly traded investment company SOL Strategies has issued $500 million in convertible bonds to purchase and stake SOL. Following this announcement, the stock price of SOL Strategies rose by 23.5%. SOL Strategies intends to emulate Michael Saylor's MicroStrategy by continuously issuing convertible corporate bonds to increase its BTC holdings, aiming to boost its stock price. If SOL Strategies' actions are successful, it will provide substantial support and benefits to the SOL price. A recent emerging trend is that traditional companies are gradually increasing their SOL holdings through various means.

Good news for SOL spot ETF

The application for the SOL spot ETF has been delayed, but with the new SEC chairman Paul Atkins taking office, the situation may change. Paul Atkins has a friendly attitude towards the encryption industry and has made establishing a clear regulatory framework for digital assets a top priority, which is good news for the approval of the SOL spot ETF and may further drive up SOL prices.

SNX: From Decoupling Crisis to Recovery Hope, How Synthetix Rebuilds Market Confidence

Recently, the algorithmic stablecoin sUSD issued by Synthetix experienced a severe de-pegging event due to adjustments to the Synthetix debt management mechanism in the SIP-420 proposal. The price of sUSD dropped to as low as $0.68, while the Synthetix token SNX fell to a low of $0.55. The total locked value (TVL) of Synthetix reached a minimum of $72.23 million. Market investors' confidence in Synthetix has wavered.

Remedial measures

• Liquidity Incentives: Synthetix increases the yield to 49.18% by staking sUSD/sUSDe LP on Convex, attracting more liquidity.
• Deposit Incentives: Through the Infinex project, Synthetix incentivizes users to deposit sUSD, distributing 16,000 OP rewards weekly to users who deposit over 1,000 sUSD, with incentives lasting for six weeks.
• Staking Incentives: Users are allowed to stake sUSD into the 420 pool, and staking for one year can earn 5 million SNX as incentives.
• Negative incentives and staking optimization: Require stakers to deposit a certain proportion of sUSD; if not met, debt relief is suspended, and the proportion is adjusted upwards when the anchor deviates. At the same time, implement SNX pooled staking, expand sUSD supply, and launch Perps V4 supporting multiple collateral and off-chain order matching.

Market Rebound

With the promotion of these measures, the price of sUSD rebounded to a maximum of $0.88, and the price of SNX also increased to $0.74. In addition, the total locked value (TVL) of Synthetix rose from $72.23 million to $89.25 million, an increase of 23.56%.

Subsequent Impact

Although the sUSD de-pegging issue has not been fully resolved, Synthetix's proactive measures have given the market hope for recovery. If the sUSD price can return to 1 dollar, investor confidence in Synthetix may be restored, which could further drive up the SNX price.

Bearish targets: REZ, OMNI

REZ: Under the backdrop of low interest in restaking, the unlocking of 8.64% of tokens may trigger concentrated selling by investment institutions and teams.

Renzo is a liquidity restaking protocol based on the EigenLayer ecosystem, aimed at simplifying the complex staking mechanisms for end users and facilitating rapid collaboration with EigenLayer node operators and Active Validation Services (AVS). Due to the recent poor performance of the Ethereum ecosystem, the ETH price has been persistently low, leading to a decline in the ETH staking rate and causing Restaking projects to lose market attention. A total of 864 million REZ tokens will be unlocked on April 30, accounting for 8.64% of the total locked amount, with the current circulation rate only at 21%. According to the linear unlocking chart published in its white paper, the main beneficiaries of this unlocking are investment institutions and project teams. Given that the current heat of Restaking projects is low with fewer participants and the poor performance of the Ethereum ecosystem, this significant unlocking may trigger substantial sell-offs, thereby impacting the price of REZ tokens.

OMNI: Large token unlock approaching, market sell-off risk intensifying

Omni is an Ethereum interoperability layer that establishes low-latency communication among all Ethereum Rollups, enabling Ethereum to operate as a cohesive system in the modular era. Omni itself is also a public chain project. Due to the recent prolonged downturn in the Ethereum ecosystem, various Layer-2 projects have not performed well recently, and as a linking project among Layer-2s, Omni has also lost its value. On May 2, 16.63 million OMNI tokens will be unlocked, accounting for 16.64% of the total locked amount, with a current circulation rate of only 19%, equivalent to doubling the existing circulating token amount. From the linear unlocking chart published in its white paper, it can be seen that the main beneficiaries of this unlocking are investment institutions and project teams. Due to the currently low interest in Omni, this large-scale unlocking may trigger significant selling, thus impacting the price of OMNI tokens.

Hot Tracks

MC: Can it lead the development direction of the crypto✖️AI future?

MCP stands for Model Context Protocol, launched by Anthropic on November 25, 2024. After its launch, it did not receive market attention. Following the impact of Deepseek on existing AI software, the market began to gradually focus on optimizing algorithms and resource scheduling issues, changing the previous development model of AI relying on cumulative computing power. As a result, the standardization of how external data and applications interact with large language models (LLM) and provide context through MCP is gradually gaining market attention.

Recently, with the good performance of the MCP-related token Dark on the trading platform Alpha, market investors have begun to show enthusiasm for and invest in MCP-related tokens, making MCP one of the few concentrated hot tracks in recent times.

The concept of MC

The Model Context Protocol (MCP) is an open-source standard launched by Anthropic, initially developed as an extension of the Claude ecosystem, aimed at addressing the fragmentation issues in the interaction between AI models and external tools and data. It has now evolved into MCP as a secure and standardized way for AI agents powered by large language models to interact with external systems and obtain real-time data. In practical use, MCP can serve as a universal adapter, enabling AI to access content repositories, business tools, and development environments.

The core goal of MCP is to enhance efficiency through standardized processes, allowing AI agents to shift from "understanding" to "action". It provides developers with efficient tools and enables businesses and non-technical users to easily customize their own agents. In this way, MCP can become a bridge connecting virtual intelligence with the real world, thereby promoting personalized innovation and development across various industries.

The working principle and technology of MC

MCP adopts technology

The foundation of MCP technology is JSON-RPC 2.0, a lightweight and efficient communication standard that supports real-time bidirectional interaction, similar to the high performance of WebSockets. It operates through a client-server architecture:

• MCP Host: An application for user interaction, such as Claude Desktop, Cursor, or Windsurf, responsible for receiving requests and displaying results.
• MCP Client: Embedded within the host, establishes a one-to-one connection with the server, handles protocol communication, and ensures isolation and security.
• MCP Server: A lightweight program that provides specific functions and connects to local (such as desktop files) or remote (such as cloud APIs) data sources.

Transmission methods include:

• Stdio: Standard Input and Output, suitable for quick local deployment, such as file management, with latency as low as milliseconds.
• HTTP SSE: Server-Sent Events, supports remote real-time interaction, such as cloud API calls, suitable for distributed scenarios.

Working principle

MCP adopts a client-server architecture. Simply put, when the MCP host wants to retrieve data or perform operations, it needs to communicate and collaborate between the MCP client and the MCP Server. To ensure efficiency and security, MCP assigns a dedicated client for each server, forming a one-to-one isolated connection. Its core components include:

• Host: User entry point, such as Claude Desktop, responsible for initiating requests and displaying.