Out with the Old, in with the New? Average Decline of Over 60% in New Projects; High Valuations and Low Circulation Discourage Retail Investors

Out with the Old, in with the New? Average Decline of Over 60% in New Projects; High Valuations and Low Circulation Discourage Retail Investors

Out with the Old, in with the New? Average Decline of Over 60% in New Projects; High Valuations and Low Circulation Discourage Retail Investors

Many highly anticipated new projects have been launched this year, but in this era of overvalued starting points, most projects quickly reached their peak prices after opening and then declined steadily. Despite the saying in the cryptocurrency market that “new tokens are hyped while old ones are not,” even in a bull market, these tokens seem to lack sufficient buying power.

According to information shared by cryptocurrency researcher Ignas, several well-known projects launched this year have experienced an average decline of 63.6% from their historical highs. Furthermore, the average circulation rate of these tokens is only 13.6%, indicating that many tokens are still locked and yet to be unlocked. This will further exert downward pressure in the future, making it even more difficult to return to historical highs.