Current market conditions:
The impact of Bitcoin and Ethereum ETFs: The launch of Bitcoin and Ethereum exchange-traded funds (ETFs) has changed the market landscape. In the past bull market, funds would flow from major cryptocurrencies such as Bitcoin to altcoins. Currently, the investment in Bitcoin ETFs has exceeded US$50 billion, and these funds do not have a similar mechanism to invest in altcoins. This shift limits the available capital for altcoins, making it more difficult for them to appreciate.
The inflation problem of altcoin supply: New altcoins are launched quickly, flooding the market and causing huge inflationary pressure. Many project parties issue a large number of tokens, resulting in supply far exceeding demand.