Why the crypto bull market must be driven by ecological innovation?

In yesterday's and previous articles, I often said that the power from within the crypto ecosystem is the healthiest, most sustainable, and most powerful force that can drive the market; while external catalysts and stimuli can often only work for a short time and can only last for a very short time.

This is why, although I will also share the benefits of encryption policies, I am more willing to share the inventions, creations, new models and new scenarios within the ecosystem.

What is the power coming from within the crypto ecosystem?

For example, two sectors that have emerged in this round of market: inscriptions and AI agents.

It's just that the inscription lacked power afterwards and failed to form real strength; and the AI ​​agent suffered repeated attacks before it could be systematically formed, which damaged its vitality, and now we have to wait for it to recover.

In this regard, typical examples of the DeFi, NFT and chain games that exploded in the last bull market are those that have gone through a complete cycle and completely ignited emotions.

Many readers have experienced the last bull market. I believe many readers can still vividly recall how strong the internal power and appeal of the market was at that time.

In the current crypto ecosystem, after experiencing wave after wave of shocks, it seems that we have gradually forgotten this feeling.

In fact, right next door to us, what A-shares and Hong Kong stocks have experienced and are experiencing is the best reference.

The first wave of A-share recovery from despair was the policy market that began in September last year.

That scene is not far from us, I believe everyone is familiar with it.

At that time, stimulated by policies alone, A-shares and Hong Kong stocks suddenly soared, and the Shanghai Composite Index rose by more than 5 percentage points in a single day. The Shanghai Composite Index rose by nearly 1,000 points in less than a month, an increase of more than one-third. This was not an individual stock, but an index.

Apart from "crazy", I really can't find any other words to describe the market situation at that time.

What's the result?

After the National Day, in the absence of further strong policy stimulus, the market was immediately interrupted, and A-shares and Hong Kong stocks declined simultaneously, and there has been no significant improvement since then.

This is what we will see when we rely solely on external stimuli without an internal ecosystem.

In fact, this is true not only for traditional financial markets, but also for any financial market, including the crypto market.

If we want to boost the market in this way, we must continue to flood the market with money and continue to pump up the market.

I think it would not be easy for other countries in the world to achieve this except for a few developed countries such as the United States and Japan.

This is true for traditional markets, and the crypto market is no exception. Even if the crypto market is stimulated by strong policies, how long can it last?

Back to A shares and Hong Kong stocks.

After the slump of A-shares and Hong Kong stocks in October last year, something unexpected happened in January this year:

The emergence of DeepSeek has overturned the development path of large models. It has made developers realize that in addition to making drastic efforts in computing power, they can also find ways to improve the algorithms.

This news not only shook the U.S. stock market, but also the A-share market. People began to look for various listed companies that indirectly held shares of their parent companies.

A-shares began to become restless, and at the same time, southbound capital and foreign capital began to pay attention to Hong Kong-listed technology stocks again.

Then, a series of AI-related positive news came out, including Yushu Technology’s robots and Nvidia’s stake in WeRide.

Apple's selection of Alibaba as its AI partner for iPhone China has brought the AI ​​theme to a climax.

In addition to news publicity, I have personally witnessed a large number of cases in actual application: during this period, I often see friends in my circle of friends posting news about their company launching a certain + DeepSeek solution, all of which are promoting DeepSeek's improvement in efficiency and reduction in cost of the company's business.

Obviously, the application and popularization of AI has begun to enter our lives and change our lives.

During this period, stocks of almost all Chinese technology companies listed on the Hong Kong stock market have started to take off, with the Hang Seng Technology Index becoming the focus of attention.

As for A-shares, the current market trend is relatively healthy, basically maintaining a two steps forward and one step back situation, and is no longer as irrational as the surge in September last year.

This is the driving force from within the ecosystem. The market driven by this force is a healthy and sustainable market.

What the crypto ecosystem lacks is precisely this kind of internal driving force, this kind of real source of power.

It is impossible for the crypto ecosystem to develop healthily if we rely on policies and blindly treat "games" as "main business". So we still have to focus on discovering new trends, new inventions and new scenarios within the ecosystem.

By the way: I am not writing this article today to encourage everyone to buy A-shares or Hong Kong stocks. It is just that I suddenly thought these two days that the driving force behind the two waves of trends of A-shares and Hong Kong stocks last year and this year just corresponded to the external policy force and the internal ecological driving force. In addition, A-shares and Hong Kong stocks are both very familiar to us, so it is easier for us to understand them by comparison.

By comparing them, we can clearly see the problems that the crypto ecosystem is currently facing. I hope that we can see the true direction and true driving force of the future of the crypto ecosystem from this reference, explore the true direction in our daily learning, and find the true driving force of the crypto ecosystem in the true direction.