Analysis: The rise in cryptocurrency prices has boosted protocol revenue, with perpetual income increasing by 243% last week

Blockworks Research analyst Shaunda Devens stated that cryptocurrency will remain the best speculative market, as prices and demand will mutually reinforce each other. In stocks, price increases do not directly affect the underlying business; for example, once Apple's stock price reaches a certain level, the price-to-earnings ratio relative to the same income base appears unreasonable.

It points out that this is not the case with cryptocurrency; the token business is largely tied to financial asset speculation, where higher prices directly lead to more trading and leverage demand, resulting in increased protocol revenue. Last week, despite tokens rising by as much as 60%, 10 out of 16 sectors saw revenue growth exceeding price increases; perpetual contract revenue rose by 243%, while the corresponding price only increased by 43%. Therefore, tokens do not have a true value ceiling in the short term, and mechanisms such as buybacks and DAT further reinforce this reflexive cycle.