Short-Term Volatility Driven by Multiple Factors
During the recent discussion on cryptocurrency price movements, He Yi pointed out that short-term prices are indeed significantly influenced by liquidity, traffic, and token structure. These elements become especially pronounced during periods of heightened market sentiment, though they don't necessarily reflect a project's true value.
Long-Term Sustainability Through Utility
She further emphasized that after the market hype fades, only projects with real revenue streams and practical use cases can endure. Token emission and burn mechanisms also play a role in shaping long-term price trends. For example, BTC, ETH, and BNB have already surpassed the limitations of short-term factors, demonstrating stronger resilience across market cycles.
Shift from Storytelling to Practicality
As the crypto industry has matured over the years, the era of fundraising based solely on compelling narratives is over. He Yi believes that reliance on storytelling is declining, while practical utility is gaining importance. Future growth in the sector will increasingly depend on real-world adoption and technological implementation.