
TL;DR
Sentiment: BTC rallies; dominance slips as altcoins regain ground.
GameFi: sector market cap +14% WoW; top gaming tokens broadly green.
Reality check: only a few games top 100K wallets; stay picky.
Bitcoin (BTC) started the year strong, briefly touching its highest value since November 2025 and sending altcoins soaring.
Despite the strong start, the OG cryptocurrency saw its market dominance slide from 59% to 58% this week as altcoins gained ground against it.
The CMC Altcoin Index is also trending up, reaching its highest value over the last three months.

In line with this, the GameFi sector looks to be gearing up for a big move.
GameFi Market Recap
The GameFi sector saw a major resurgence this week, coasting on the coattails of a crypto market-wide pump.
Most prominent tokens in the crypto gaming ecosystem saw major growth, including nine of the top 10 largest gaming tokens.
Some standouts among the top 10 include:
Render (RENDER): +51.4%
Gala (GALA): +13.6%
Decentraland (MANA): +9%
Overall, the sector saw its market capitalization spike 14.1% week-over-week (WoW) and has now erased most of its December losses to achieve a 1.6% month-on-month gain.

Source: Top Gaming Tokens Page
The weekly trending list also highlighted some of the more popular GameFi tokens. Names like World of Dypians (WOD) and GUNZ (GUN) impressed with WoW gains of 88.2% and 137.7%, respectively.

But it’s not all smooth sailing. Several well-known GameFi tokens suffered nasty drawdowns.

Just a handful of Web3 games currently have over 100K weekly active unique wallets. The current leaderboard is shown below:

Source: DappRadar
According to DefiLlama’s narrative tracker, the GameFi sector is performing better than average over the last week.
It currently ranks ninth of the 22 sectors tracked by the platform, achieving a 4.4% gain in its market-cap weighted category performance.
GameFi News Roundup
Below is a recap of some of this week’s most significant GameFi developments:
GameFi Funding Fell 55% YoY in 2025
Delphi Digital flagged a harsh reset for crypto gaming—funding fell over 55% year-on-year, marquee launches underdelivered, and sentiment stayed muted. The upside: “Web2.5” studios using blockchain as infrastructure (often tokenless) are quietly gaining traction.

Source: Delphi Digital
Heroes of Mavia Teases ‘Alliance Wars’ for 2026
Heroes of Mavia teased “Alliance Wars” as an upcoming competitive mode, framed as a longer-term feature aimed at deeper gameplay loops. If shipped well, it could become a meaningful re-engagement catalyst as the project shifts focus toward retention and progression.

Source: Heroes of Mavia
Portal Confirms Merger With Animoca-Backed BLIFE Protocol
Portal announced it has merged with BLIFE Protocol, supported by Animoca Brands and G-20. The deal aims to fold BLIFE’s Bitcoin-focused stack into Portal’s cross-chain gaming and interoperability layer, consolidating product direction under the Portal brand.

Source: Portal
What You Can Do Now
Rotate into strength: If your bags are down bad, consider rotating into stronger plays
Check the trending list for alpha (click here → select ?trending → sort by performance)