May is always presumed to be a pessimistic month because sellers are expected to “sell and go away.” Contrary to the conjecture, the crypto market has fared well this month. In fact, out of the first five days, buyers dominated four. As a result, they turned out to be green candle days.
TheN came the pre-ETF rally. That was not only restrictive to large caps, but even mid-caps and small-caps followed along. On May 1, the total crypto market cap created a wick low around $2 trillion. The month has almost come to an end, and the figure is up by 30% already, to $2.6 trillion.
RWA Assets Override Memes
Among all sectors, bridging and DA tokens performed the worst this month. In fact, a recent analysis by Artemis revealed they were the only two sectors that registered a negative ROI figure in May. CEX, AI, SoV tokens have registered single-digit returns, while file storage, gaming, NFT applications, social apps, and DePIN-related tokens were a step ahead and bestowed users up to 20%.
Utility tokens, i.e. tokens related to staking, DeFi, and oracles capped their ROI under 30%, while meme coins made it to the other side of the line by cumulatively rising 30.4%. Artemis' post highlighted,
“Best performing asset class in May '24 = RWAs.”
Together, as a sector, real world asset tokens rose by close to 60%. In fact, tokens from this category also managed to outperform Bitcoin and Ethereum individually. Their MTD figures stood around 19% and 30% respectively at press time.
RWA tokens are collectively worth more than $9 billion. Ondo, the current leader, has been leading the pack. Just over the past week, for instance, it has appreciated by 27%, while Pendle, TokenFi, TrueFi, Dusk, Clearpool, and Swarm Markets' native assets have appreciated by 15%-32% each.
