Discussion on Altcoins and Market Trends

Good afternoon, crypto degens. How are you doing this fine afternoon? I’m doing great. I came across some interesting posts on X, particularly one by Key Young Ju discussing which altcoins might survive. We all agree that 99% of altcoins are worthless, but there are some that hold real value. I found his insights quite interesting and want to share them.

Before diving into that, I noticed a couple of other posts. Wendy O mentioned that everyone panics when crypto prices drop, but that’s when real money is made. She loves the volatility of bear markets because big opportunities arise when prices are low. Recently, prices have been very low, and with today’s meeting with the new Fed chair, things could change if unexpected positive news comes out. The current prices are incredibly good.

Meipo added that the best time to invest in crypto is when it’s unpopular. If you bought crypto when it was somewhat accepted and didn’t hold for four years, you likely lost money. The good news is that crypto is once again out of consensus, presenting incredible buying opportunities.

Key Young Ju’s Insights on Altcoins

Key Young Ju argues that altcoins aren’t dead, but the era of making money just by issuing a token is over. Narratives still matter, but they must be backed by real business, revenue, and alignment with global financial trends. This aligns with my thoughts: focus on what’s being adopted and used in the real world.

He categorizes promising altcoins into groups: global internet companies with tokenized market layers, DeFi services with real revenue, and projects aligned with broader financial trends. Examples include BNB from Binance and Ton from Telegram, which have real businesses and revenue. These tokens offer exposure to underlying ecosystems, and their success depends on continued real-world use.

DeFi services like Hyperliquid still generate solid revenue. Altcoins can have significant upside when founders are credible, revenue is real, and governance respects token holders. Projects aligned with broader financial trends are also promising. The altcoin market cap hasn’t grown much beyond its 2021 high, but the market now understands blockchain’s true potential, focusing on real businesses with substance.

Key Young Ju suggests buying projects with real adoption, like Sol, BNB, ETH, and others. Avoid speculating on altcoin runs or gaming coins. Instead, focus on projects with real-world use and potential for growth.

Market Observations and Regulatory News

Ash Crypto noted that Bitcoin dominance is crashing, hitting a 58-day low of 58%. Altcoins are moving in tandem with Bitcoin, but they aren’t crashing as they have in the past. This is likely because altcoins are already very low, making further crashes unlikely.

In regulatory news, Illinois Governor Pritzker signed a 0.2% tax on crypto transactions into law, including transfers between personal wallets. The Crypto Council for Innovation called it the most punitive digital asset tax in the country. It’s unclear how this will be enforced, but it’s seen as ridiculous.

Additionally, Ash Crypto mentioned that $220 billion was wiped out from the US stock market shortly after President Trump threatened Iran. The market is extremely sensitive to such news, causing rapid fluctuations. Hopefully, geopolitical tensions will ease, and we might see a positive crypto run soon.

That’s all for today. I have two free courses on my website to help you understand crypto and use wallets safely. Have a great day!