According to BlockBeats, on August 16, Andrew Kang, co-founder and partner of Mechanism Capital, shared his insights on social media regarding the future of the altcoin market. Kang expressed that while it was anticipated that the market capitalization of altcoins (including ETH) would reach new highs in the current cycle, the reality appears to be different. He suggested that the market might be experiencing a euthanasia roller coaster for many investors. Even if Bitcoin reaches new highs, it does not necessarily mean that altcoins will follow suit.

This marks the first cycle where the market capitalization of altcoins has recorded lower highs. Kang predicts that altcoins will bottom out around 2025, with the next wave of growth driven by tokens related to decentralized AI infrastructure. He emphasized that AGI (Artificial General Intelligence) will require robust communication, value transfer, training, computation/reasoning, energy market, and data storage tracks to thrive.