The exponential growth in the number of cryptocurrencies is no coincidence. In 2024 and early 2025, a massive wave of token creations emerged, driven in particular by memecoins on Solana. These new assets, often launched in a purely speculative manner, capture an increasing share of investors' attention.
"With such an overabundance of supply, the market has changed profoundly," observes Ali Martinez in a post on the social network X (formerly Twitter) on January 25, 2025. The figure is dizzying: more than 36 million altcoins exist today, compared to less than 3,000 in 2018 and only 500 in 2013-2014.
This overabundance of tokens raises a central problem: the dispersion of capital and the attention of investors. In an environment where every new crypto seeks to capture a share of the market, the most solid and technologically advanced projects struggle to stand out.
According to Martinez, this dilution of funds and speculative interest would even prevent the emergence of a new altcoin season, traditionally marked by spectacular increases in these alternative assets.
This market is crazy, the market is bearish, not bullish, it is working synchronously.
Here it doesn't matter if you diversify with several currencies, it makes no difference to invest in one, or to invest in 10, 30, or 50 currencies, caution is necessary.
Eric Trump's statement endorsing $ETH as a great investment opportunity has sparked significant attention, garnering over 507K views and substantial engagement with 2.5K comments, 3.8K shares, and 11K likes. This aligns with rising sentiments of "ALTSEASON," a term signifying a potential rally in altcoins, driven by bullish momentum in Ethereum and its ecosystem. The timing of this opinion could amplify market activity, enticing retail and institutional investors alike to consider Ethereum during this anticipated altcoin surge. As influential voices like Eric Trump weigh in, the narrative for $ETH ’s growth gains more traction. #Write2Earn!
1. Bitcoin Drop: Bitcoin has fallen below $100,000, reaching an intraday low of $97,791. This drop was due to a massive liquidation event that wiped out approximately $931.08 million from the market. The total cryptocurrency market capitalization has decreased to $3.57 trillion, reflecting a widespread bearish sentiment.
2. Selling Pressure: Selling pressure from long-term holders has increased, contributing to the price decline. This has been exacerbated by concerns over an artificial intelligence platform in China and diminishing hopes for an interest rate cut.
CONCLUSION:
Despite a greed index suggesting optimism, the cryptocurrency market is facing a bearish trend driven by massive liquidations, selling pressure, and the negative performance of altcoins. Caution is advised, and these factors should be considered when making investment decisions, folks.
Learn to accept losses as part of the trading process and not as a reflection of your skills as a trader.
Don't change your strategy on every negative trade.
Every trade is an opportunity to learn and grow. So the next time you feel like the market is turning against you, take a moment to reflect and take note. $BTC $XRP $SOL
What do you think? Is this not my thing? Should I take my case out of trading or should we continue to persevere until our pockets can take it? $XTZ $CELO