Altcoin Crash? The Truth About Crypto Dilution in 2025!
Published: 2025-02-23
Status:
Available
|
Analyzed
Published: 2025-02-23
Status:
Available
|
Analyzed
Predictions from this Video
Incorrect: 0
Prediction
Topic
Status
A 60% increase in demand could lead to significant pumps for altcoins, similar to previous cycles.
"In theory then this means that the supply of new crypto competing for Capital hasn't grown by that much in recent years at the same same time it means that an increase in demand I.E investment of just 60% would be enough for altcoins to experience the Epic pumps they saw in Prior Cycles all else being equal of course"
Pending
XRP's low price tag creates a perception of higher growth potential for new investors, despite market cap being the true indicator.
"xrp has a very low price tag this gives any interested investors the impression that xrp has more room to grow relative to BTC and eth even though this is technically incorrect it's the market cap of a crypto that determines how big it can grow not its price tag"
Pending
XRP's longevity, accessibility, and strong narrative as a bridge currency have contributed to its significant performance this cycle.
"xrp has been around for so long it's listed everywhere and very easy to buy as a cherry on top it has a powerful narrative that likewise has next to no competition to be used as a bridge currency for international transfers and this is precisely why xrp is so large and so liquid and it's why xrp is one of the few altcoins that have performed so well this cycle"
Pending
In late 2020, Solana had a market cap of $70-80 million and was buried deep in crypto rankings.
"it's late 2020 salana has a market cap of around $7 to $80 million and a price of around $1.5 and this means it's buried somewhere past the 10th page of websites like coin market cap"
Pending
Solana's price doubling to over $3 in January 2021 sparked interest among crypto investors.
"fast forward to January 2021 Souls price suddenly doubles to over $3 naturally this gets investors interested whereas a pump in the crypto Market gets regular investors interested in crypto more broadly a pump in a small cap altcoin will get crypto investors interested in that altcoin specifically"
Pending
Crypto investors bought Solana due to its potential as a faster, cheaper competitor to Ethereum, recognizing its early-stage, high-growth potential.
"after reading about how it seeks to compete with ethereum using a brand new consensus mechanism that makes salana faster and cheaper a few crypto investors bought understanding that Soul was still very small relative to how big it could become if successful"
Pending
Initial buying by a small group of crypto investors led to a price pump for Solana, attracting further interest and causing more pumps.
"because soul is or rather was still relatively small the small amount of buying by a small group of crypto investors causes Soul's price to pump which gets more crypto investors interested causing soul to pump even more"
Pending
Solana's strong 'Ethereum killer' narrative allowed it to recover from price crashes, unlike a mere meme coin, leading investors to buy the dips.
"if Soul had just been a meme coin then the crash that it experienced then would have probably been the end of it that's just because there wouldn't have been a strong narrative for investors to justify aggressively buying the dip but because salana did have a strong narrative as a so-called ethereum killer many investors bought that first Soul dip and even more investors bought the dip after Soul crashed again in the summer of 2021"
Pending
By autumn 2021, Solana rallied over 10x due to new demand and a supply shortage, with holders being 'true believers' in its narrative.
"by the Autumn of 2021 Soul had stopped started rallying again and it rallied by more than 10 times in the span of just a few months even though this rally was largely due to new demand as salana was on the front page of coin market cap by that point a large part of it was also due to the shortage of Supply a byproduct of the fact that most people holding Soul after two pumps and dumps were True Believers in the narrative"
Pending
A spot Litecoin ETF approval, with a 90% probability, is expected to cause a significant short-term price pump for LTC.
"imagine a scenario where a spot Litecoin ETF is approved something that has a 90% probability of happening according to Bloomberg analysts it goes without saying that this would cause ltc's price to pump a lot in the short term"
Pending
The approval of a Litecoin ETF will attract new investors, potentially leading to a significant upside surprise for LTC.
"it would simultaneously open the door to new investors who were previously unable to invest in LTC for whatever reason this could cause LTC to surprise to the upside and history suggests there's a good chance it will"
Pending
Fidelity now offers Litecoin to its clients, alongside Bitcoin and Ethereum, indicating increased institutional adoption.
"Fidelity one of the world's largest asset managers added added Litecoin to its crypto offerings last year making LTC one of the only three cryptos it offers its clients alongside BTC and eth"
Pending
Litecoin's 'digital silver' narrative, similar to Bitcoin's 'digital gold', is expected to drive significant buzz and investment from younger investors.
"Bitcoin is digital gold Litecoin is Digital Silver and this will cause LTC to pump a lot and that would create lots of buzz on social media where younger and less wealthy investors get their information from"
Pending
The belief that Litecoin can become a 'big' asset will lead to substantial investment, dip buying, and holding.
"many investors both retail and institutions would believe that it's possible that LTC could become big be it by Price or market cap this would be enough to not only drive substantial investment but lots of dip buying and hodling which is key"
Pending
An ETH whale might use their ETH as collateral to borrow stablecoins and invest in liquid blue-chip altcoins, most of which are on Ethereum, if ETH pumps due to an ETF approval.
"seeing the new uptrend you decide to use your eth as collateral to borrow stable coins in defi to invest in altcoins sure you could speculate on Meme coins but most of them are not very liquid and you want to invest a sizable amount of money in a crypto that you'll be able to easily sell if it pulls a 10x or a 20x and the only cryptos that check this box are blue chip altcoins wouldn't you know most of them exist on ethereum"
Pending
The number of crypto investors in the US could increase by 50% to three times as better regulations legitimize the industry, bringing ownership levels closer to stocks.
"Depending on your Source only 20 to 40% of Americans have invested into crypto with as much as 60% saying they don't invest because they don't trust it and this is likely to change as better regulations legitimize the industry the come could be a level of crypto ownership that's on par with stocks which stands at around 60% in the USA and this means that the number of crypto investors could increase by anywhere between 50% to three times"
Pending
Increased demand for crypto is predicted to be sufficient to offset the supply of new altcoins, potentially reviving the 'altcoin discovery' dynamic.
"this demand should be more than enough to offset the supply of new altcoins that can bring back the good old altcoin Discovery dynamic"
Pending
Improved cryptocurrency regulations are expected to arrive and are considered a key factor for the market.
"better crypto regulations are the key and they're coming make no mistake"
Pending
XRP has performed exceptionally well in the current cycle.
"and it's why xrp is one of the few altcoins that have performed so well this cycle"
Pending
Solana experienced a rally of over 10x in a few months by Autumn 2021.
"Soul's price was higher than it had been in the spring crash by the Autumn of 2021 Soul had stopped started rallying again and it rallied by more than 10 times in the span of just a few months"
Pending
There is a 90% probability of a spot Litecoin ETF being approved, according to Bloomberg analysts.
"consider a scenario where a spot Litecoin ETF is approved something that has a 90% probability of happening according to Bloomberg analysts"
Pending
Approval of a Litecoin ETF will likely cause a short-term price pump and open doors for new investors, potentially leading to upside surprises.
"it goes without saying that this would cause ltc's price to pump a lot in the short term it would simultaneously open the door to new investors who were previously unable to invest in LTC for whatever reason this could cause LTC to surprise to the upside"
Pending
Fidelity now offers Litecoin to its clients, alongside Bitcoin and Ethereum.
"Fidelity one of the world's largest asset managers added added Litecoin to its crypto offerings last year making LTC one of the only three cryptos it offers its clients alongside BTC and eth"
Pending
Litecoin's 'Digital Silver' narrative is easily understandable for investors.
"Litecoin also happens to have a narrative that they could easily understand whereas Bitcoin is digital gold Litecoin is Digital Silver"
Pending
A spot Ethereum ETF is expected to be approved.
"because of the approval of Stak spot ethereum ETF"
Pending
Altcoins will continue to underperform.
"and that's why they have been underperforming and it's why they will continue to underperform at least on paper"
Pending
Regulatory changes are expected to increase demand for altcoins in 2025.
"meanwhile regulatory changes could increase the demand for Els in 2025"
Pending
Most newly launched altcoins lack economic value.
"most new altcoins have zero economic value"
Pending
A 60% increase in altcoin demand could lead to significant price pumps, similar to previous cycles.
"in theory then this means that the supply of new crypto competing for Capital hasn't grown by that much in recent years at the same same time it means that an increase in demand I.E investment of just 60% would be enough for altcoins to experience the Epic pumps they saw in Prior Cycles"
Pending
The majority of capital entering the crypto market flows into a select group of cryptocurrencies.
"the overwhelming majority of capital that goes into the crypto Market still Finds Its way into the same set of cryptos"
Pending
New investors are primarily discovering crypto through social media platforms like TikTok and X.
"most new investors have been finding out about crypto via social media websites like uh Tik Tok and X"
Pending
Most cryptocurrency purchases in the current cycle are occurring via DEXs, indicated by the rise of crypto wallets with DEX swap functionalities over centralized exchange apps.
"in this cycle however it appears that most cryptos are being purchased via dexes evidenced by the fact that crypto wallets which offer Dex swaps like Sal's Phantom wallet have been flipping sex apps like coinbase in Mobile app stores"
Pending
The number of crypto investors in the US could increase by 50% to 300% due to better regulations and increased trust.
"this means that the number of crypto investors could increase by anywhere between 50% to three times depending on what the real number of us crypto investors is"
Pending
While not guaranteed, altcoins could recover if liquidity flows into the crypto market, and understanding the mechanisms of this flow is key to identifying beneficiaries.
"there's no guarantee that altcoins will recover but if they do you need to know exactly how and why liquidity will flow into the crypto market and which altcoins will benefit"
Pending
Emerging blue-chip altcoins on newer blockchains like Sui are potential investment opportunities.
"maybe you want to invest in some other new emerging blue chip altcoin on a newer blockchain like suei"
Pending
Cross-chain interoperability has significantly improved since 2021.
"cross chain interoperability is 100 times better now than it was in in 2021"
Pending
Improved cryptocurrency regulations are anticipated and will be a key factor in the market.
"because better crypto regulations are the key and they're coming make no mistake"
Pending