📈 Altcoin: Deep Selling Pressure – But Strong Growth Opportunity is Hidden

The Altcoin market is undergoing a significant and volatile decline, leaving many investors bewildered. However, the real cause behind this drop stems from the liquidity structure – the actual supply available for trading in the market is severely limited.

Suppose an Altcoin project has only about 10% of the total supply in circulation and available for trading, while the remaining 90% is locked or yet to be released into the market. When market trends worsen, even a small portion of the group holding 90% of the supply wanting to sell can create enough selling pressure to cause a deep price drop.

For example, if only 10% of the token supply is being traded and a large investor sells 2% of the total supply, the market may not have enough liquidity to absorb this selling, leading to a sharp price decline. Furthermore, after recent liquidations of leveraged positions, liquidity on the order book has become thinner, exacerbating the impact of sell orders.

However, the flip side of this scarcity is also an opportunity. When market sentiment turns positive, the limited supply will allow Altcoin prices to easily surge. Low selling pressure combined with returning capital will make the price increase much more impressive.

👉 Important message: If you are holding Altcoin, be patient. The growth cycle of the crypto market is not over yet. Strong correction phases like the current one are just a stepping stone to prepare for significant rebounds in the near future.