Category: News, NFT News

Altcoins Shine as Supply Adjustments and DeFi Growth Fuel 40-70% Gains

The coming week in the cryptocurrency market has positioned altcoins as potential breakout candidates, driven by a combination of liquidity injections, token supply adjustments, and strategic developments in decentralized finance (DeFi). FTX’s planned $1.9 billion payout to creditors on August 15 is expected to introduce fresh capital into the market, potentially spurring demand across the broader crypto spectrum [1]. This liquidity injection could especially benefit altcoins with strong fundamentals and growing network activity.

Simultaneously, Curve’s (CRV) token emissions are set to fall below 5%, signaling a tightening of supply that could support prices if demand remains steady [1]. In DeFi circles, Fluid’s buyback proposal—long anticipated by traders—is also set to go live, with potential short-term price impacts if the buyback significantly reduces token supply [1]. These shifts reflect a broader trend in altcoin markets, where supply-side adjustments and on-chain governance initiatives play a growing role in shaping investor sentiment.

Ethereum has seen a 41% gain over the past month, buoyed by strong ETF inflows and institutional interest, with open interest in ether call options reaching 2.3 times that of put options [3]. This speculative activity has drawn attention to utility-driven projects, with SEI (Sei blockchain’s native token) emerging as a key contender. SEI’s 49% rise in July and 20% gain in August has prompted analysts to highlight its potential for further growth, particularly if DeFi adoption accelerates [2]. Recent integration with MetaMask is expected to enhance user accessibility and adoption [2], positioning SEI as a candidate for sustained momentum.

Other altcoins have also shown strong performance, with XRP and Sui surging 56% and 70%, respectively, over recent months [6]. These gains are largely attributed to favorable regulatory developments and a growing focus on blockchain projects with real-world utility. The altcoin sector appears to be shifting away from speculative assets toward projects with scalable solutions and tangible use cases [1].

However, the market remains sensitive to macroeconomic indicators, with the broader crypto market cap dipping below $4 trillion amid anticipation of U.S. CPI data [4]. Bitcoin and Ethereum have both shown signs of stalling, despite short-term gains, as investors await clarity on inflation and broader economic signals [4]. Meanwhile, a prominent Bitcoin short-seller has seen a reversal in fortunes, with their position turning from a $5.74 million profit to a $12.81 million loss [7], underscoring the volatility and unpredictable nature of the market.

Seasoned investors are increasingly adopting a diversified strategy, balancing core holdings in Bitcoin and Solana with exposure to high-speed altcoin plays. These altcoins, particularly those with strong tokenomics and real-world utility, are seen as potential high-performance assets in a risk-on environment [1]. As the market continues to evolve, the focus is shifting toward projects that can deliver long-term value, rather than short-term hype.

Source: [1] CoinMarketCap – [https://coinmarketcap.com/community/articles/689daa39aaa6ef523e62d5be/](https://coinmarketcap.com/community/articles/689daa39aaa6ef523e62d5be/)

[2] Crypto Economy – [https://crypto-economy.com/best-crypto-coins-to-buy-in-2025-blockdag-stellar-sei-and-cardano-in-focus/](https://crypto-economy.com/best-crypto-coins-to-buy-in-2025-blockdag-stellar-sei-and-cardano-in-focus/) [3] TabbFORUM – [https://tabbforum.com/opinions/ethereum-is-soaring-but-the-real-growth-engines-are-waiting/](https://tabbforum.com/opinions/ethereum-is-soaring-but-the-real-growth-engines-are-waiting/) [4] XT.com – [https://www.xt.com/en/blog/community-news/2025-08-12T15:37:09.000Z](https://www.xt.com/en/blog/community-news/2025-08-12T15:37:09.000Z) [5] CoinDesk – [https://www.coindesk.com/daybook-us/2025/08/11/ether-s-rally-pulls-bitcoin-along-crypto-daybook-americas](https://www.coindesk.com/daybook-us/2025/08/11/ether-s-rally-pulls-bitcoin-along-crypto-daybook-americas) [6] Nasdaq – [https://www.nasdaq.com/articles/cryptocurrency-biggest-winner-trumps-tariffs-spoiler-alert-its-not-bitcoin](https://www.nasdaq.com/articles/cryptocurrency-biggest-winner-trumps-tariffs-spoiler-alert-its-not-bitcoin) [7] The Economic Times – [https://m.economictimes.com/crypto-news-today-live-14-aug-2025/liveblog/123288029.cms](https://m.economictimes.com/crypto-news-today-live-14-aug-2025/liveblog/123288029.cms)

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