Encryption analysts suggest that the Altcoin market is still in the early “speculative” stage before the 2021 is prepared to recover.
Nevertheless, some Altcoins meets without more active participants, which can be informed of the reduced retailer Mindshare in Memecoin Frenzy, and the short -term price of Altcoins is limited.
For example, Algorand (Algo) Token was traded at about $ 0.28, and Algorand’s daily activity wallet fell to 182,170 on February 10. In contrast, Algorand Network boasted more than 13 million active addresses on December 20, 2021 when Algo recorded up to $ 1.46.
Active Daily Address, Algorand. Source: INTOTHEBLOCK
The daily activity address of the chain link network dropped to 3,860 on February 10, compared to 11,280 addresses on May 3, 2021, when the chain link (link) token reached an all -time high on May 3, 2021.
Active daily address, chain link. Source: INTOTHEBLOCK
According to Nicolai SONDERGAARD, a research analyst of the Nansen Crypto Intelligence platform, Memecoins has not yet come to the Altcoin season because it has attracted more weight of investor Capital and Mindshare during the current period.
The analyst said to COINTELEGRAPH.
“Altcoin season still appears, but it’s different from the way people experienced in the previous cycle. We now see more tokens, higher levels of discoin, and many Altcoins, but certain sectors and tokens will see a higher number than the rest. ”
Despite the lack of risk profiles and lack of basic utility, Memo Coin continues to dominate the retail speculation with the potential of fast profit.
Early February 14, the authentic encryption “SNIPER” gained $ 28 million after purchasing the latest “broccoli” memo coin inspired by Binance’s co -founder CHANGPENZ ZHAO ‘S DOG. But he speculated that the merchant could be an internal wallet.
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Altcoin season is still an early “speculative” stage.
Some Altcoins did a price rally even if the daily activity address was insufficient.
However, the Altcoin price audit, which has not increased the number of wallets, did not arrive, according to Marcin KazmierCzak, co -founder and chief operating officer of Redstone.
He told Cointelegraph:
“When most Altcoin’s daily active addresses are lower than the peak in 2021, we suggest in the early stages of the cycle. It does not match the growth of daily active addresses, indicating that price recovery may be in the initial speculative stage before a wide range of adoption begins. ”
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Meanwhile, Altcoins’ total market capitalization, except for 10 largest cryptocurrencies, remains near $ 277 billion, according to TradingView data.
Altcoins total market cap, except for the top 10 cryptocurrencies. Source: TradingView
This decreased by more than 77% from the highest market cap of $ 449.2 billion recorded on November 10, 2021.
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