I have said many times that the liquidity of most altcoins will not return, or it will take a long time to return to the level of June

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And tell my friends in institutions a sad fact: the book returns will become more and more ugly

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This comes from my observations:

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1️⃣ Most altcoins have only sold their own coins in the past, and the effectiveness of the agreement is also being lost. At the same time, the project does not have enough positive cash flow; or it has completed "cashing out" in the past cycle, and there is no need to pay attention to "old projects"

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2️⃣ Institutional investments in 2022 are about to usher in continuous large-scale unlocking, but the project has not built a strong enough buying order to become a high-quality "bottom-fishing target"; everyone will fall into the prisoner's dilemma of "whether to be the first to sell"

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3️⃣ For market makers, the cost of making markets in an old project without heat is increasing day by day, because liquidity does not return, there is no depth, and market makers do not have much profit space

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4️⃣ The attention and purchasing power of community users are also focused on mainstream currencies and those projects that are really popular. The market buying is narrowing and liquidity will be more concentrated. Of course, this view has only been half confirmed in this round of rising cycle. For example, in the past falling market, LDO, which performed very well, also began to weaken. $LDO's market value was 1.7b in July, and it is only 1b now; But from another perspective, some altcoins need to double to return to the normal state when the market was good this year.