Why Are Altcoins Traded More Than Bitcoin? 🧐

A 16th-century economic principle, Gresham's Law, posits that "bad money drives good money out of circulation." This concept helps explain investor behavior within the crypto market, particularly how users approach Bitcoin versus Altcoins.

Typically, investors acquire Bitcoin for long-term holding and as a robust store of value. In contrast, Altcoins and memecoins are predominantly utilized for short-term trading, seeking quick gains.

What constitutes 'good money' and 'bad money' in crypto? 🤔

Good Money, exemplified by Bitcoin and other established top tokens, is characterized by its scarcity and role as a long-term Store of Value. The prevailing mindset among holders is one of 'hoarding' or secure accumulation in cold storage.

Bad Money, often represented by many Altcoins and memecoins, typically lacks the scarcity or established long-term value proposition of good money. It's traded speculatively for rapid profit, rather than held as a durable store of wealth. This constant trading activity contributes to their higher volume.