It seems that Blockchain teams are not very impressed with the bearish momentum of the year. Currently, 5,317 new altcoins have been listed since the start of the year alone. Despite the loss of value exceeding 70% from the peak, the developers continue to produce.
Altcoin market continues to find new members despite sharp decline
The release of 5,317 new altcoin projects means developers trust the technology. But as simple as it sounds, there is more to it. These new cryptocurrencies are most likely there to try and replicate the success of the first cryptocurrency, Bitcoin. At $20,699, Bitcoin has achieved a lot as the industry evolves, according to Coinecko data. The fact that it is accepted as official currency in El Salvador is one example of this. However, more than 15,000 businesses around the world accept payments in cryptocurrencies. Global adoption is a major contributing factor to BTC price increases. This provides more profitability to investors.
What does this interest mean for the cryptocurrency market?
Historically, the emergence of new cryptocurrencies has invoked a bullish run as developers do not want to miss the opportunity to make more money. However, it looks like the market has run out of gas this year. The altcoin market cannot force itself to move in an uptrend. However, even its predecessors Bitcoin and Ethereum entered a bearish line that bled for days.
With the addition of more than 5,000 new cryptocurrencies to the market, experts think the thesis that the bear market is temporary and a major rally is still possible is strengthened. It is also possible for developers to take advantage of this downward momentum to build other projects to be introduced when the next bull cycle arrives.
