Declared that “altcoins have entered a bear market”! Analysis: The average price of the top 115 cryptocurrencies has halved by 50% from its high point

In the eyes of many people in the cryptocurrency industry, "the takeoff of altcoins after the Bitcoin halving" has always been a "bull market rule." However, this time, the much-anticipated "altcoin peak season" may have been ended before it even started. . According to CoinGecko data, the overall altcoin market value has now shrunk to US$1.19 trillion. Even if it once climbed to US$1.46 trillion in March this year, it is still not as good as the glorious record of US$1.7 trillion set by the 2021 bull market.

Cryptocurrency research company 10x Research released its latest report today (19th) stating that among the top 115 cryptocurrencies by market capitalization, as many as 73% of the tokens reached their peak price in March this year. However, so far, these The average price of 115 cryptocurrencies has halved by 50% from its highs.

Source: 10x Research

Markus Thielen, CEO of 10x Research, emphasized in the report that "altcoins are in a bear market." Unless the liquidity crunch in the cryptocurrency market is significantly improved, the decline will deepen and intensify.

According to 10x Research, Bitcoin and Ethereum are currently down 11% and 13% respectively from this year's highs, and their performance is relatively stable. This may be due to traders transferring funds from alternative coins to the two major cryptocurrencies, and this This phenomenon has occurred in the past two market cycles. Markus Thielen said:

In an altcoin bear market, effective risk management becomes the key to survival. Token unlocking, unfavorable cryptocurrency liquidity indicators, these are the main triggers for the altcoin plunge.

10x Research warned last month that nearly $2 billion in token unlocks between May and July this year could hit the altcoin market.

Now Markus Thielen further explained that venture capital funds invested US$13 billion in major altcoin projects in the first quarter of 2022, but now many investors in the currency circle are turning to chasing AI themes. It is expected that these tokens will be unlocked after , will also face heavy selling pressure from venture capital funds.

〈Declare that “altcoins have entered a bear market”! Analysis: The average price of the top 115 cryptocurrencies has halved by 50% from its high point. This article was first published on "Blocker".