What Is Seed Funding?

Seed funding is a type of funding that provides capital to startups in exchange for equity in the company. It is different from other types of funding, such as venture capital or angel investing, because it typically comes from individual investors or small investment firms rather than large institutional investors.
One of the advantages of seed funding is that it allows startups to get the capital they need without giving up too much equity in their company. This is especially important for startups in the crypto industry, where there is a lot of uncertainty and volatility. Seed funding can also provide startups with valuable connections and mentorship from experienced investors.

However, there are also some disadvantages to seed funding. For example, it typically brings a smaller amount of money than other types of funding, which means that startups may need to raise additional rounds of funding later on. Additionally, seed funding can be more difficult to secure than other types of funding because it is often based on the reputation and connections of individual investors.

Seed Funding in Crypto

There has been an increase in seed funding for cryptocurrency firms in the last several years. Seed investment in the cryptocurrency industry functions similarly to that in other sectors, with a few notable exceptions.

The usage of digital currencies like Bitcoin and Ethereum in crypto seed funding is a key distinction. This eliminates the need for companies to use conventional banking channels in order to raise capital from investors all across the world. The usage of blockchain technology, which is common in cryptocurrency seed fundraising, may increase security and transparency for all parties involved.

Here's the Analysis of #RAD :

#RAD is been flipped above the resistance zone, and also making a rejection too. Price is retracing back to the support. A potential up-move is expected, but the only problem is the range on the left.

#BTC formed a double bottom and made a bounce. Price made a small channel pattern had a break but still moving with-in a range. A break below back tot he support zone, will be high probable reversal for the market.

#TOTAL2 MARKETCAP UPDATE :

#TOTAL2 going as per the marking, Index printed a new lower low and with that market reacted already. Index need to retest the support zone as per plan but it missed it. You can expected a drop still as it running bearish or wait for the flip above the zone.

Capital Inflows 🟦 when the cost basis of the 1w-1m holders trades above the 1m-3m cost basis. This underscores a positive momentum in demand, and, attracting new capital into the market.

Capital Outflows 🟪 when the cost basis of the 1w-1m holders plunges below the 1m-3m cost basis. This structure signals a diminishing momentum in the demand side, and a net capital outflow from the asset.

During previous bull markets, a negative capital flow structure has occurred up to five times. We can also see that this structure has been in play since May and into early June.

Seed Funding vs ICOs

In the realm of the crypto industry, an avenue for acquiring funds emerged, known as the initial coin offering (ICO). These ICOs offered an opportunity for crypto startups to gather financial support by introducing their own cryptocurrency tokens to investors. However, it is crucial to comprehend the differences between ICO (or its later forms) and seed funding, particularly when navigating the treacherous seas of uncertainty and risk.
Imagine this: Initial Coin Offerings (ICOs) are like unknown and risky adventures for brave startups. They rely on ideas that haven't been tested or proven, which makes them uncertain, like a fog that hides what might happen. We can't be sure if these tokens will increase in value as time goes on.

On the other hand, imagine seed funding as a time-honored vessel sailing through the waves of convention. It adopts a traditional equity model, wherein investors receive a portion of the company in return for their investment. This traditional voyage grants both the startup and the investor a sense of stability and security, like a reliable compass guiding them toward their shared destination.

Here's the Analysis of #UNFI :

#UNFI is been rejected hard from the major resistance area of $5.57 - $5.79 and moving with the channel pattern. Price on the supporting line, might get bounce but incase of break below we can see some strong push lower towards the support area, around $3.05 - $3.25,

#BITCOIN DAILY TF UPDATE :

#BITCOIN on Daily TF, kept on hodling the support area, we can see Daily candle kept on rejecting the support and weekly will does the same, just one more candle to go. A rejection will be good to see as it might start a reversal.

#FTM broke the channel and dropped around 5% after it. Price also broke the strcutural support now retesting it. More dump can come, as market is not give any bullish response.

If we apply this framework to recent cycles, we can see that the ongoing bull has been very similar to the 2017 cycle from a macro perspective. In particular, the recent consolidation phase near the previous ATH aligns with the equilibrium to euphoria boundary described by the 3.5 multiple applied to the LTH-Realized Price 🔴.

Here's the Analysis of #LDO :

#LDO sharply dumped after a small consoldiation and overall we can see price trading between the Major level of support around $1.61 - $1.69 and Major Resistance around $2.62 - $2.69. Currently, price nearly on a intermediate support area and key level too but can't expect much from here. Its better to wait for the price, to reach the area.

#BITCOIN WEEKLY TF UPDATE :

#BITCOIN on Weekly TF, price dropped well, its trying to close below the weekly zone. With the closing there will be fear in the market. The only best possible scenario will be a fakeout will happen.

#DXY UPDATE :

#DXY also moved as per the call, and printed a new higher high with that we can strong dump too. Still we can see some room to push towards the resistance area 106.30% and a retracement is expected. With that, market will have a relief rally and potential mind-term relief too.

Seed Funding vs VC Funding

Now, let us delve deeper into the vast expanse of funding possibilities in the crypto realm. Alongside seed funding, venture capital (VC) funding emerges as a popular alternative, drawing the attention of institutional investors.

There is an important difference between seed funding and VC funding: the amount of money involved. VC funding provides a larger sum of money to help startups grow and succeed. However, this kind of funding comes with certain conditions and closer examination from careful investors.

In comparison, seed funding is like a flexible lifeline that gives startups the important support they need to begin their journey without giving away too much ownership of their new business. It creates an environment where startups can have more control and independence over their own project, which is very important in the fast-paced and always-changing crypto industry.

Here's the Analysis of #PIXEL :

#PIXEL continuous printing the new lower low and no clear zones as this gone for the listing recently. Overall, price moving with-in the falling wedge pattern. Nothing can be done here, it better to wait for the price, flip above the resistance area of $0.32 - $0.35.