Why Altcoin Season Is Late โ๏ธ
๐ 5 Major Issues That Are Preventing The Coming Of Altcoin Season ๐
1๏ธโฃ Bitcoin Advantage and ETF Impact
โ Spot Bitcoin ETFs have attracted $15 billion+ in net liquidity from traditional financial institutions, but that money has flowed directly into Bitcoin.
โ BTC Dominance (Bitcoin's total crypto market share) has approached ~55%, limiting the upside of altcoins.
โ Institutional investors still prefer to stay in Bitcoin instead of risking altcoins.
2๏ธโฃ Ethereum's Efficiency Problem
Ethereum has disappointed investors due to high gas fees and scalability issues, despite claims of being "ultrasonic money" and "the foundation of DeFi."
โ The ETH/BTC ratio has fallen from 40% to 55% since 2022 (from 0.08 BTC to 0.05 BTC), indicating that the altcoin market leader has weakened.
3๏ธโฃ Solana and his Meme Casino
โ Solana has created a "casino" image with memecoin hype and 100+ scam tokens per day, despite its technical infrastructure.
โ Retail investors sought returns of 5x-10x the long-term value of projects, which made the market speculative.
4๏ธโฃ Control of Investment Funds
โ VCs (Venture Capital) buy 70% of the token output in advance and artificially raise the prices.
โ Tokenomics problem: Most projects allocate 80% of tokens to VCs and the community, making public distribution secondary.
5๏ธโฃ Global Liquidity Shortage
โ High interest rate and QT (Quantitative Tightening) in the USA are suppressing the demand for risky assets.
โ There is still no net liquidity flow from China, Japan and Europe to the crypto market.
