{"id":127456,"date":"2025-04-18T09:16:07","date_gmt":"2025-04-18T09:16:07","guid":{"rendered":"http:\/\/cryptospotters.net\/?p=127456"},"modified":"2025-04-18T09:16:07","modified_gmt":"2025-04-18T09:16:07","slug":"altcoins-may-rally-in-q2-2025-thanks-to-improved-regulations-sygnum","status":"publish","type":"post","link":"http:\/\/cryptospotters.net\/?p=127456","title":{"rendered":"Altcoins may rally in Q2 2025 thanks to improved regulations: Sygnum"},"content":{"rendered":"<p>Source: Cointelegraph.com NewsAltcoins may see a resurgence in the second quarter of 2025 as regulations for digital assets continue to improve, according to Swiss bank Sygnum.<br \/>\nIn its Q2 2025 investment outlook, Sygnum said the space has seen \u201cdrastically improved\u201d regulations for crypto use cases, creating the foundations for a strong alt-sector rally for the second quarter. However, it added that \u201cnone of the positive developments have been priced in.\u201d\u00a0<br \/>\nIn April, Bitcoin dominance reached a four-year high, signaling that crypto investors are rotating their funds into an asset perceived to be relatively safer.\u00a0<br \/>\nStill, Sygnum said regulatory developments in the US, such as President Donald Trump\u2019s establishment of a Digital Asset Stockpile and advancing stablecoin regulations, may propel broader crypto adoption.<br \/>\n\u201cWe expect protocols successful in gaining user traction to outperform and Bitcoin\u2019s dominance to decline,\u201d Sygnum wrote.\u00a0<br \/>\nIncreased focus on economic value ignites competition<br \/>\nSygnum also said that competition would increase as the market focuses on economic value. Increased competition in a market often results in better products, ultimately benefiting consumers:\u00a0<br \/>\n\u201cThe market\u2019s increased focus on economic value compels greater competition for user growth and revenues, with rising protocols such as Toncoin, Sui, Aptos, Sonic, or Berachain taking different approaches.\u201d<br \/>\nSygnum added that while high-performance blockchains address limitations of the Bitcoin, Ethereum and Solana blockchains, they find it challenging to achieve meaningful adoption and fee income.\u00a0<br \/>\nSector breakdown by market capitalization. Source: SygnumThe report highlighted that some approaches have been more sustainable. These include Berachain\u2019s approach of incentivizing validators to provide liquidity to decentralized finance (DeFi) applications, Sonic\u2019s rewarding developers that attract and retain users, and Toncoin\u2019s Telegram affiliation to access 1 billion users.<br \/>\nAside from layer-1 chains, Sygnum highlighted that layer-2 networks like Base also have potential. The report pointed out that while the memecoin frenzy on the blockchain pushed its users and revenue to new highs, it made an equally sharp decline after memecoins started losing steam.\u00a0<br \/>\nDespite this, Sygnum noted that Base remains the layer-2 leader in metrics like daily transactions, throughput and total value locked.\u00a0<br \/>\nRelated: Italy finance minister warns US stablecoins pose bigger threat than tariffs<br \/>\nMemecoins still a leading crypto narrative in Q1<br \/>\nDespite recent price declines, memecoins remained a dominant crypto narrative in Q1 2025. A CoinGecko report recently highlighted that memecoins remained dominant as a crypto narrative in the first quarter of 2025. The crypto data company said memecoins had 27.1% of global investor interest, second only to artificial intelligence tokens, which had 35.7%.<br \/>\nWhile retail investors are still busy with memecoins, institutions have a different approach. Asset manager Bitwise reported on April 14 that publicly traded firms are stacking Bitcoin. At least 12 public companies purchased Bitcoin for the first time in Q1 2025, pushing public firm holdings to $57 billion.<br \/>\nMagazine: Uni students crypto \u2018grooming\u2019 scandal, 67K scammed by fake women: Asia Express<a href=\"https:\/\/cointelegraph.com\/news\/altcoins-rally-second-quarter-sygnum-bank-report?utm_source=rss_feed&amp;utm_medium=rss&amp;utm_campaign=rss_partner_inbound\" target=\"_blank\" class=\"feedzy-rss-link-icon\" rel=\"noopener\">Read More<\/a><\/p>","protected":false},"excerpt":{"rendered":"<p>Source: Cointelegraph.com NewsAltcoins may see a resurgence in the second quarter of 2025 as regulations for digital assets continue to improve, according to Swiss bank Sygnum. In its Q2 2025&hellip; <\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[5],"tags":[],"_links":{"self":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/127456"}],"collection":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=127456"}],"version-history":[{"count":0,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/127456\/revisions"}],"wp:attachment":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=127456"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=127456"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=127456"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}