After a refreshing rest over the weekend, I'm catching up on my Twitter feed. Since the Kelp hacking incident, there has been a significant increase in bearish views regarding altcoins across the board within overseas communities. It seems that most overseas traders, starting with 0xsun, Ansem, and others, have switched to a short position. The general consensus is that while risk premiums have risen due to frequent hacks, expected returns are low in comparison, so there is really no reason to invest. The issues being mentioned are roughly: 1. Quantum computing issues 2. Hacking issues caused by AI + the demise of DeFi 3. Projects with investment value have already reached their fair value (Hype, ZEC, etc.) 4. Solar and On-Chain have been ruined by Gen.G traders who bought at a market cap of 50k and dumped at 100k. => In conclusion, considering the above points... the prevailing view seems to be, "Should I even invest in altcoins...?" What if the hacking issues are just the beginning? The fear of that is really huge.
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Disclaimer: The content above is only the author's opinion which does not represent any position of Followin, and is not intended as, and shall not be understood or construed as, investment advice from Followin.
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