Dragonfly Partner: Market Sentiment Far from FTX Collapse Levels, Crypto Fundamentals Remain Strong

Odaily reported that Dragonfly Managing Partner Haseeb wrote on platform X, stating that many industry insiders recently believe current market sentiment is worse than during the FTX collapse. However, he explicitly refuted this, calling it a typical "recency effect." The FTX collapse was the industry's most severe systemic crisis since Mt.Gox, with the market even fearing that the crypto industry might face functional bans globally, leading to high uncertainty about its future. In contrast, although prices have declined since October last year, the industry's fundamentals remain healthy. This includes continuously improving global regulatory prospects, ongoing progress in institutional and corporate adoption, active prediction markets, record-high trading volumes on perpetual DEXs, and stablecoin adoption entering a phase of rapid growth. Overall, the industry still needs time to recover, but the overall development outlook remains positive.

(Note: Recency effect refers to the psychological phenomenon where the most recent stimulus influences impression formation.)