Altcoins have always been more volatile. For a short time period, newly created assets created immense gains, with appreciations of 1,000 or even 10,000 times happening within weeks or even days.
But in 2019, altcoins have lost their luster – and may even be considered a no-go asset, in most cases. Volumes have continued to decrease, and with a few exceptions, the altcoin market is on the decline. Altcoin price dominance has returned to levels from before the big rally in 2017, while the (BTC) market cap dominance is now above 70%, once again establishing a more traditional ratio between BTC and altcoins.
Here are the five reasons to be careful about altcoins:
It has happened before: In the past, new altcoin projects were all the rage. But now, PandaCoin and Namecoin are largely forgotten.
The entire family of anonymous coins is now mostly defunct, with only Monero (XMR) and Bytecoin (BCN) the remnants of a mass movement of asset creation. Anonymous coins like XMR could be created through a simple tool, much like (ETH) tokens….
Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.