📊｜The influence of retail investors is getting weaker and weaker, why is the performance of the altcoin season not good❓
📌Recalling that in 2017, there was a hundred responses to the call. At that time, there were basically no institutions. It all depended on the consensus of retail investors, and the collective rise was pulled up.
🔻Now the influence of retail investors is getting weaker and weaker. If you study it, it is not difficult to find that with the trend of ETFs, more and more institutions and financial whales have entered the market. Now most BTC is in their hands, and retail investors don’t have much Bitcoin. As a result, everyone has to look at the faces of institutions, and institutional whales look at the faces of the Federal Reserve, which has evolved into chasing policies every day.
🔻Now retail investors are talking about altcoins the most. Since October 23, BTC has started to rise strongly, while altcoins have been sitting still. It is obvious that this is a bull market led by BTC.
Judging from the rhythm of the altcoin season in the bull market in previous years, Bitcoin rose first, and then altcoins. Why is the performance of the altcoin still poor so far❓
1️⃣The dilution of new coins has reached a record high. Nearly one million new tokens were created in May alone, which is twice the total amount created by Ethereum from 2015 to 2023.
2️⃣A steady stream of token unlocking is pouring into the market. Currently, about $200 million of token unlocking is flowing into the market every day.
♦️At this rate, even if the current price remains unchanged, the number of tokens continues to pour in, and it is unreasonable not to fall now. But there is no need to be discouraged. From the perspective of the altcoin cycle, it is still in the early stage and there is at least one year of development in the future.
💡The data shown in the figure below is the total market value of the altcoin (excluding the top ten in market value), which can fully reflect that the current altcoin market is the same as in October last year, and BTC is still at a high level. This shows that the bull market has not yet started for the altcoin.
