Why hasn't there been a massive influx of retail investors into the cryptocurrency market?
Because the profits are too small.
Nothing is as exciting as a friend's investment in cryptocurrency multiplying by 100 times, and nothing is as exhilarating as a friend becoming wealthy overnight from trading.
Most people enter the market simply because they've heard that friends are making money trading cryptocurrencies.
In previous years, when there weren't so many VC-backed coins, these stories of sudden wealth were still quite common.
It is often said to invest in new rather than old coins; new coins are likely to become hits.
In the past two years, retail investors have completely missed out on the profits in this area.
Buying new coins and wanting to make money is very difficult; generally, buying new coins means losing money.
Without the effect of making money, who would come in? Without the effect of sudden wealth, who would come in?
When the market is booming, and coin prices rise, people will naturally rush in to make money.
When the big players make a move, allowing retail investors to make some profit, so many people will scramble to get in.
The same principle applies to the cryptocurrency market; driving the price up is key, and only coins that allow retail investors to earn money are good coins!