Why did altcoins perform so poorly in this bull market?
This round of bull market altcoins generally performed poorly, with most falling by more than 50%. There are many reasons for this.
-Off-market funds did not flow into the cryptocurrency market: Although Bitcoin ETF has brought more than 10 billion US dollars to Bitcoin, the funds of Bitcoin ETF will only buy Bitcoin, and will not flow into the cryptocurrency market to buy altcoins.
-A large number of tokens unlocked: As the cryptocurrency market has developed to this point, many tokens have gradually entered the unlocking cycle. At present, 50 million US dollars of tokens are unlocked from major projects every day.
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-The market has issued a lot of tokens: At present, a token with a circulating market value of several hundred million US dollars and a fully diluted market value of several billion US dollars is basically released every week. In addition, many low-market-value Meme coins are also constantly being launched to dilute the liquidity of the market.
In May alone, the market issued more than 1 million new coins, and Solana's data has not yet been counted.
