Except for a few zones like MEME and AI, and a few special cases like SOL expected to take over the ETF, the performance of the vast majority of AltCoins in this market cycle can be described as "disastrous". The main reasons for the poor performance of AltCoins are mainly threefold:

The approval of the ETF has caused a change in the Liquidity transmission mode in the market. In the past, the path for incremental funds to get on board was generally through 'Stablecoin - BTC, ETH - AltCoin', but now incremental funds from traditional markets are more likely to directly invest in BTC through ETFs. This also causes funds to be unable to continue to be transmitted, resulting in a lack of Liquidity in the AltCoin market.

The continuous unlocking of a large amount of VC Tokens has brought about continuous selling pressure, resulting in a market situation of 'supply exceeds demand'. If you look closely at the circulation changes of some AltCoins, you will find that although the prices of some Tokens continue to fall, their circulating market capitalization is still setting new highs.

The new projects that open at sky-high prices are constantly draining the remaining Liquidity of the market, such as io.net, ZKsync, LayerZero, Blast... A bunch of long-hyped hot projects are being launched one after another, and FDV is generally in the range of tens of billions of dollars, which further exacerbates the shortage of Liquidity in the AltCoin market.

Considering the trend of "When BTC rises, altcoins remain still; when BTC falls, altcoins plummet" has been broken, the situation of altcoins in the circle will also improve!

#币圈观察员 #九月美联储降息预期会是下一波利好吗？