Jakarta, Pintu News – According to renowned analyst, Michaël van de Poppe, the future of most altcoins looks unpromising. With major changes taking place in the crypto market, altcoins are facing increasingly tough challenges. Van de Poppe emphasized that many altcoins will not survive until 2026, given the increasingly selective market conditions and the failure of many projects to prove their existence.
Van de Poppe revealed that this year has been worse for altcoins than 2022, with many tokens dropping in market value by almost 90% from their cycle peak. This is not just another bear market, but a complete reset. In the past, almost all altcoins benefited because the crypto market was new and difficult to value. However, those conditions no longer exist.
Valuations became stricter, capital more selective, and most projects failed to justify their existence. In the previous cycle, the altcoin market, with the exception of Bitcoin (BTC), delivered returns of about 39 times. However, many well-known coins did not reach that benchmark. Litecoin (LTC) only yielded about 17 times and NEO about 33 times, both underperforming the market.
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Van de Poppe argues that many investors measure performance in the wrong way. Gains against the dollar often hide the true underperformance of the market itself. The correct benchmark is the altcoin market, not fiat currencies.
Solana (SOL), on the other hand, delivered a return of about 250 times its low point, far surpassing the benchmark. Underperformance of the benchmark means a loss in relative value, despite the increase in the dollar price.
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According to van de Poppe, most legacy altcoins suffer from the same problems, namely weak adoption, outdated design, and heavy supply in the hands of legacy holders.
These assets no longer solve real market problems, and mere hype is not enough to drive prices. Van de Poppe compares the current situation to the dot-com crash, where many early internet companies never recovered, even though the internet itself flourished.
Altcoins that survive will show a clear separation between usage and price growth. Van de Poppe focuses on assets where adoption is increasing despite falling valuations, creating a gap that can then be closed.
He cited the examples of Arbitrum (ARB), Near Protocol (NEAR), and Aave (AAVE), where total locked-in value, transaction volume, or fee generation have risen sharply while token prices have stagnated or declined. On the other hand, chains with declining activity and falling usage are unlikely to recover, regardless of how far the price has fallen.
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This content aims to enrich readers’ information. Pintu collects this information from various relevant sources and is not influenced by outside parties. Note that an asset’s past performance does not determine its projected future performance. Trading crypto carries high risk and volatility, always do your own research and use cold hard cash before investing. All activities of buying and selling bitcoin and other crypto asset investments are the responsibility of the reader.
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