📣📣 Important news! Important notice! 📣📣

Why is the altcoin market in a downturn? The main reasons are as follows:

Exchanges are flooding with new coins

Too many new coins: Exchanges frequently launch new coins, resulting in lax market review of new coins. Recently, there have been multiple new coins such as ZK, ZRO, IO, and lista launched.

Market value is too high: The market value of new coins when they are launched is generally too high, and there is serious false propaganda. The number of tokens unlocked is huge, which further dilutes the market value.

Insufficient market liquidity

Liquidity problem: There are too many altcoins and insufficient market liquidity. The altcoins in the primary and secondary markets are seriously sucking blood, resulting in insufficient funds.

Fund flow: After the ETF is passed, funds slowly flow into BTC and ETH, and the altcoin market is seriously short of liquidity.

Project parties lack pattern

Selling pressure: Most project parties lack long-term vision, sell tokens as soon as they go online, and basically do not protect the market, resulting in a sharp drop in coin prices.

Exchange old coins for new coins: After the old coins lose their value, some project parties directly launch new coins to continue harvesting, and the market trust is reduced.

Market hype disappears

Hype disappears: The market lacks hype hotspots, and a little disturbance leads to a decline. The buying and selling demand between value coins and fans does not match, hoarding coins becomes difficult, and the risk of long-term holding is high.

Market sentiment is low: market sentiment is low, and investors lack confidence, leading to further sluggishness in the altcoin market.

Market hope

Institutional pull: The only hope for the market is that institutions work together to pull the market and drive the market up through a large amount of funds.

Ethereum ETF passes trading: The passage and trading of Ethereum ETF can increase market liquidity.

Improvement of the macro environment: The improvement of macro factors such as the end of the war, interest rate cuts and presidential elections will also help to enhance market confidence and liquidity.

Summary

The downturn in the altcoin market is mainly due to the proliferation of new coins on exchanges, insufficient market liquidity, lack of pattern of project parties and the disappearance of market hype. The hope for the future market lies in the joint pull of institutions, the passage of Ethereum ETF transactions and the improvement of the macro environment. These factors are expected to improve market liquidity, restore investor confidence, and drive a recovery in the altcoin market. #Lista #io项目 #zro $LISTA $IO $ZRO