Prominent Analyst Predicts the Demise of Most Altcoins by 2025

Ki Young Ju, the founder and CEO of CryptoQuant, has made a bold prediction that most cryptocurrencies, with the exception of Bitcoin and Ethereum, may not experience an altcoin season in 2025.

Prominent Analyst Predicts the Demise of Most Altcoins by 2025

According to a report by CoinTelegraph, Ki Young Ju believes that projects with strong technical fundamentals and sustainable revenue models have the potential to outperform the broader market. He emphasized:

Most altcoins will not survive the 2025 market cycle.

Ju highlighted that cryptocurrencies with a high chance of receiving ETF approval, robust revenue models, and sustained investor interest could outperform the rest of the market. He stressed:

Altcoins Likely to See Growth in 2025:

Tokens with a high chance of ETF approval.
Projects that can maintain market attention.
Altcoins with strong revenue models.

Ju pointed out that the era of sudden, widespread growth is over. Instead, we are now witnessing selective altcoin seasons, and most altcoins are not going to reach new heights.

Market Analysis and the Capitulation Phase

Juan Pellicer, a senior analyst at IntoTheBlock, suggests that the recent market downturn might be a sign that the market is approaching a capitulation phase. He noted:

The recent market correction, coupled with significant liquidations (particularly in assets like Solana) and the total crypto market cap dropping to $3.13 trillion, indicates a possible entry into the capitulation phase as overleveraged positions are being flushed out of the market.

The capitulation phase in financial markets occurs when investors, driven by panic and heavy selling pressure, liquidate their assets. This leads to a sharp decline in prices and is typically seen as a signal that the market is forming a bottom before a new uptrend begins.

Which Cryptocurrencies Might Get an ETF?

At least seven cryptocurrencies are awaiting ETF approval from U.S. regulatory bodies. Securing this approval could boost institutional investment and increase demand for these assets. These cryptocurrencies include:

Cardano (ADA)
Solana (SOL)
Ripple (XRP)
Litecoin (LTC)
Hedera (HBAR)
Dogecoin (DOGE)
Polkadot (DOT)

Additionally, the U.S. Securities and Exchange Commission (SEC) has received the first applications for Trump and Bank ETFs.

Speculative Phase vs. Real Adoption

Despite the lack of growth in daily active users, some altcoins have seen price increases. This suggests that a true altcoin season has yet to begin. Marcin Kazmierczak, co-founder and COO of RedStone, stated:

The number of daily active addresses for most altcoins is lower than the peak in 2021, indicating that we are still in the early stages of the market cycle. Price growth without a concurrent increase in daily active addresses suggests that we are likely in the speculative phase before widespread market adoption.

In summary, while the market may be experiencing a period of volatility and uncertainty, the insights from analysts like Ki Young Ju and Juan Pellicer provide a glimpse into the potential future of altcoins and the broader cryptocurrency market. As investors navigate this landscape, the focus will likely be on projects that demonstrate strong fundamentals and the ability to attract sustained interest and investment.

Prominent Analyst Predicts the Demise of Most Altcoins by 2025