Let's analyze several reasons for the sharp drop in the altcoin market‼ ️
1. After the halving of Bitcoin, the operating costs of mining companies have increased, and they need to sell Bitcoin to obtain operating funds or purchase new equipment to improve their own mining capabilities; on the other hand, smaller mining companies may no longer be able to continue, and can only sell Bitcoin for profit and close their mining business. (Therefore, the mining difficulty has decreased, but miners continue to sell BTC)
2. The current market is pessimistic, Wall Street is not optimistic about altcoins, and Bitcoin's ETF has a net outflow of US$580 million in recent days
3. There are too many new coins listed too frequently. Every time Binance launches a new coin, the new coin will pull back. ZK, which was launched this time, is currently being criticized badly, and the new coins IO NOT BB ULTI have fallen badly. In the final analysis, the valuation of the new coin is too high, and there will be a continuous release later. This round of bull market has no good narrative to drive the market FOMO!
4. Dog dealers only ship goods without protecting the market! Most retail investors no longer have a pattern of altcoins