The altcoin season index has retraced, while Ethena, Sky, and Curve DAO are still worth following.

The current altcoin season index has dropped to 36, indicating a cooling of the overall altcoin market. However, there are clear signs of capital rotation, with Ethena (ENA), Sky (SKY), and Curve DAO (CRV) becoming the focus of traders due to their substantial volume, unique application scenarios (synthetic USD, credit tokenization, stablecoin liquidity), and yield mechanisms. This article provides an in-depth analysis of the fundamentals, recent performance, and market dynamics of these three major tokens, revealing that even under a sluggish altcoin season index, selective altcoin build a position opportunities still exist.

Altcoin Market Divergence: Selective Rotation Amidst Lackluster Index Despite the Altcoin Season Index ( falling to 36, far below the threshold indicating a full-blown bull market (usually 75), the market is not stagnant. Trading data shows that funds are selectively rotating into tokens with specific attractions (high volume, real use cases, yield mechanisms) such as Ethena )ENA(, Sky )SKY(, and Curve DAO )CRV(. This indicates that savvy investors are looking for opportunities in hot alts and potential alts based on fundamentals during the current altcoin market rotation phase.

Ethena )ENA(: The synthetic dollar protocol is gaining momentum, with volume and staking in the spotlight

• Current Data: ENA is currently priced at approximately $0.598, with a market cap close to $3.96 billion. Its 24-hour trading volume is impressive, exceeding $650 million )CoinMarketCap data(, making it one of the representatives of high-volume alts.
• Core Value: The Ethena protocol supports its synthetic stablecoin USDe. Since its launch, the protocol's activity has continued to increase, with trading demand and staking demand jointly driving the circulation of the token. The liquidity data from Curve and Binance reflects its daily usage, and its performance in July showed relative strength compared to its peers in the broader market.
• Market Focus: Traders continue to follow Ethena's dual-token model (ENA and USDe) and its staking yield mechanism. Although ENA has experienced significant price fluctuations recently, holders actively participate in governance and liquidity programs (such as liquidity mining), and this high level of engagement keeps Ethena in the spotlight of discussions regarding the altcoin season. Investors looking for altcoin staking opportunities are highly interested in ENA.

Sky )SKY(: Credit tokenization supports value, low-key but stable

• Current Data: SKY price hovers around $0.0798, with a market cap of approximately $1.7 billion. Its 24-hour volume is relatively small, around $1.9 million.
• Core Value: The SKY Token supports the activities of a credit-centric DeFi platform (primarily operating on the Avalanche chain). It supports decentralized lending pools and tokenized assets bound to real-world credit. Although the project does not receive as much attention as other projects of similar market capitalization, its application scenarios and protocol growth remain stable.
• Market Focus: Although SKY has had limited price fluctuations in recent weeks, the DeFi activity on its supporting protocol has maintained the circulation and use of the Token. For investors focused on real use cases of DeFi and the tokenization of RWA (real-world assets), SKY represents a relatively low-profile yet practical alts portfolio allocation option.

Curve DAO )CRV(: The cornerstone of stablecoin liquidity, with active depth and governance

• Current Data: CRV price is approaching $0.92, with a market cap of approximately $1.27 billion. Its 24-hour volume performance is strong, exceeding $220 million.
• Core Value: The CRV Token is the governance and value capture token of Curve, one of the largest stablecoin trading platforms in DeFi. Curve's volume remains high, and it continues to be a key liquidity source for mainstream stablecoins such as USDT, USDC, and other stable assets. Its deep liquidity pools are the cornerstone facilities of the DeFi ecosystem.
• Market Focus: CRV holders are actively participating in governance proposals, including fee structure adjustments and incentive model optimization. Although the CRV price is still distant from its historical peak, it continues to attract considerable regular volume, accompanied by periodic capital inflows with the on-chain yield cycle. For investors seeking stablecoin liquidity mining opportunities and participating in mature DeFi governance, CRV remains one of the core targets. Its high volume also makes it a popular altcoin among active traders.

Altcoin Season Index Stabilizes, Functional Protocols Favored

• Although Bitcoin's market dominance remains above 60%, specific assets like Ethena )ENA(, Sky )SKY(, and Curve DAO )CRV( are showing independent upward momentum. This indicates that even in the case of a sluggish altcoin season, capital rotation still favors those protocols that possess practical functionality and provide key services (such as liquidity).
• Clear positioning for each:
  • Ethena )ENA(: Provides exposure and yield opportunities for synthetic US dollars (USDe).
  • Sky )SKY(: Supports decentralized credit flows and RWA tokenization.
  • Curve DAO )CRV(: The core hub of stablecoin liquidity.
• The three represent different value perspectives in the altcoin season activities, clearly demonstrating that the current token capital flow is closely linked to real application scenarios and trader behavior.

Conclusion: Selective Rotation Continues, Follow Fundamentals and Activity

• Although the comprehensive altcoin season has not yet arrived, selective fund rotation continues. Traders are closely monitoring key indicators such as volume, staking project participation, and governance activity as a basis for selecting targets.
• Ethena )ENA(, Sky )SKY(, and Curve DAO )CRV( have each demonstrated sufficient activity and fundamental support in their respective fields, allowing them to stand out in the current alts market differentiation landscape, making them worthy of continued follow by investors.
• For users intending to Build a Position in alts or optimize their alts investment portfolio, in-depth research on tokens with unique value propositions, practical use cases, and active communities/ecosystems may be key to seizing the next wave of potential market movements. Buying opportunities in alts may exist in such fundamentally solid projects.