At a recent conference, Bitget COO Vugar Usi Zade offered insights suggesting that the current cryptocurrency landscape is moving away from the traditional “altseason” model, where numerous alternative coins experience surges in value simultaneously. Zade emphasized that the absence of significant technological advancements and product milestones has hindered a broad rally across altcoins.
According to Zade, the market is now more likely to witness focused bursts of activity surrounding specific narratives or themes, rather than a sweeping rally in the entire altcoin sector. For instance, he highlighted “real-world assets” (RWA) as a potential area of interest, where any gains would likely be concentrated among RWA-related tokens, leaving unrelated cryptocurrencies unaffected.
The COO pointed out that Bitcoin has begun to chart its own course, often gaining in value even when altcoins are on a downturn. This shift undermines the historical trend where Bitcoin’s gains would often lead to an upsurge in altcoins—what many traders and investors relied upon for portfolio diversification.
Zade also addressed the challenges posed by the short-term focus prevalent among crypto investors, noting that this pressure complicates the sustainability of projects. In the fast-paced world of cryptocurrency, there is frequently an expectation for quick profits, which contrasts sharply with traditional companies that may take years to become profitable. He cited Amazon as an example of a company that took over a decade to achieve profitability, stressing that this expectation can prevent innovative projects from maturing or developing durable products.
He further discussed the structure of token releases in the crypto space, explaining that unlike traditional startups, many crypto projects distribute tokens directly to retail investors. This practice places significant pressure on project teams to stabilize token prices early on, as a decline in value can jeopardize the viability of the project itself.
Zade concluded by stating that this combination of rapid market dynamics, isolated narratives, and a lack of new breakthroughs makes a widespread altcoin rally improbable in the foreseeable future. Future market movements, he predicted, will be driven by targeted narratives rather than a synchronized increase across the broader asset class.
