Why Are #Altcoins Struggling in the Current Market as compared to #Bitcoin  ? This is just my two cents worth of opinion...

1. Stagnation of Fresh Funding:

The influx of new capital into the market has slowed. Where are your favorite neighbors, barbers, and Uber drivers? They aren't investing. A look at the total stablecoin market cap reveals only $3 billion in new funding since April 23.

2. Proliferation of New Coins Causing Massive Dilution:

Exchanges are listing too many new coins without stringent reviews. These coins often have high market valuations and are surrounded by misleading marketing, with a significant number of tokens being unlocked simultaneously.

3. Insufficient Market Liquidity:

The sheer number of altcoins dilutes market liquidity, drawing funds away from each other. Meanwhile, ETFs are gradually directing funds towards BTC and ETH, leaving altcoins with inadequate liquidity.

4. Lack of Long-Term Vision by Project Owners:

Many project owners lack a long-term vision and tend to sell their coins shortly after listing, offering little market support.

5. Disappearance of Market Hype:

Market excitement has waned, leading to price drops at the slightest sign of disturbance. Investors are reluctant to support each other, making it difficult to accumulate coins for long-term investments, which often end up losing value.

How Could Recovery Happen?

Recovery might be possible through coordinated efforts by institutions to boost the market, the approval of Ethereum ETFs to increase liquidity, the resolution of geopolitical conflicts, lowered interest rates, and the start of the presidential election cycle.

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