#创作者成长激励计划  The altcoin market is more likely to rise in the second quarter.

Altcoins may see a resurgence in the second quarter of 2025 as regulations on digital assets continue to improve.

The Q2 2025 investment outlook report notes that regulations on crypto usage areas have “significantly improved,” paving the way for a strong rally in the altcoin sector. However, “no positive developments have yet been reflected in prices.”

Bitcoin dominance reached a four-year high in April, indicating that crypto investors are shifting their funds to assets seen as relatively safer.

However, regulatory developments in the US (such as President Donald Trump’s creation of a Digital Asset Stock and the advancement of stablecoin regulations) could push crypto adoption to a wider audience.

“We predict that protocols that manage to gain user interest will perform better and Bitcoin dominance will decline.”

Focus on economic value fuels competition.

Furthermore, the market’s increasing focus on economic value will increase competition. Increased competition in a market usually results in better products, which benefits the consumer:

“The market’s increasing focus on economic value necessitates stronger competition for user growth and revenues. Emerging protocols like Toncoin, Sui, Aptos, Sonic or Berachain are taking different approaches.”

Despite addressing the limitations of Bitcoin, Ethereum and Solana, high-performance blockchains have struggled to achieve meaningful adoption and transaction fee revenue.

Some approaches are more sustainable. These include Berachain’s method of incentivizing validators to provide liquidity for decentralized finance (DeFi) applications; Sonic’s model of rewarding developers who attract and retain users; and Toncoin’s Telegram connection, which allows it to reach 1 billion users.

In addition to layer-one chains, layer-two networks also have potential. The memecoin craze on the Base network has seen its user and revenue numbers reach record levels, but these gains have rapidly declined as memecoin interest has waned.

Despite this, Base is seen to maintain its leading position among layer-two networks in metrics such as daily transactions, transaction capacity, and total value locked.

Memecoins Still at the Forefront of the Crypto Narrative in Q1 2025

Despite recent price declines, memecoins have continued to dominate the crypto narrative in Q1 2025. It has been revealed that memecoins still dominate the crypto narrative in Q1 2025. A crypto data firm noted that memecoins accounted for 27.1 percent of global investor interest, trailing only AI tokens at 35.7 percent.

While individual investors are still focused on memecoins, institutional investors are taking a different approach. An asset manager reported on April 14 that public companies continue to accumulate Bitcoin. It was noted that at least 12 public companies purchased Bitcoin for the first time in Q1 2025, bringing the total value of these purchases to $57 billion.