DeFi mining may completely change the previous bear market pattern

The market of Dabing today is still relatively boring, and it is currently trading sideways around $10,300.

The magnitude of the shock has become much smaller. If you go like this, there is a high probability that it will rise again later.

But don't expect too much. As far as the current market is concerned, it is completely possible to fluctuate for another month or two.

In this market situation, in addition to futures being able to fluctuate, defi market making is also an option.

Because for DeFi market making, there are nothing more than two risks, one is violent fluctuations when using tokens to make the market, and the other is using stable coins to make the market and missing the market.

The former is not difficult to understand. For example, if you are in the ether market, if the ether plummets, then a large number of people will sell ether to you in exchange for your u.

In this case, it is equivalent to you taking over the ether at a high position.

Even, if you are doing some small currencies, then you are very likely to bear the risk of being close to zero.

Of course, the same is true for the skyrocketing price of your market-making currency. The currency in your hand will be bought in large quantities, which is equivalent to selling tokens at a low price.

Therefore, it is not difficult to see that if you want to make a market, then choose when the market volatility is small, or choose to use stablecoins to make the market, which is the least risky.

But stablecoin market-making will bring about an opportunity cost problem, that is, holding a large number of stablecoin mining in a bull market is equivalent to emptying the entire bull market.

However, from this point, we can extend another imaginable future, that is, will the DeFi market-making and mining mode make the bear market less bearable?

In the past currency cycle, we all know that the bull market is very hot and there are many users.

But the bear market is extremely quiet. Except for some futures parties who are still playing, most users, applications, and currencies are in a state of pretending to be dead.

And through the pros and cons of DeFi mining we described above, we also know that DeFi market-making mining is more suitable for carrying out when the market is stable or there is no risk of falling short.

These two points will appear frequently in a bear market. For example, each round of bear market will have a period of half a year to a year to build a bottom, and for example, there is no risk of falling short at all in a bear market.

So, under such favorable conditions and places, will Defi still be able to survive well in the bear market?

I think this is a place worth imagining. After all, for ordinary users, the threshold for futures is too high, and the losses are often more than the profits.

In the bear market, there are no other forms except that futures may have profit points. At this time, DeFi mining has obviously become a treasure.

Defi market-making mining does not require the superb skills of futures, and at the same time allows users to make money when it is difficult to make money in a bear market.

This is a very attractive point for currency circle users.

So what the next wave of bear market will become under the blessing of DeFi is still very exciting.