Analysts say that the crypto market should support for a wave of token unlocking a total of $ 17 billion at the end of April, which raises concerns about devaluation and market saturation.

This follows a recent marketing event that saw almost $ 10 billion in long liquidations, further strenuous liquidity.

Tges and market saturation spell problems for new projects, says analysts

Beincrypto reported on a Historical crypto -Leavement event provoked by US President Donald Trump’s customs. Bybit -vd Ben Zhou, however, estimated that crypto -complianctions after US customs could have been between $ 8- $ 10 billionLong overall reported figures.

Analysts now warn that the market is becoming increasingly unwilling to support new execution environments that lack unique value proposals.

“The market can no longer take up execution environments that give no value,” analyst wrote.

While they cite after-Token generation event (TGE) Fighting between many projects, this perspective is in line with the latest reports indicating Crypto Investors’ varying focus from MEME coins to altcoins with real values.

With reference to Messari, a new analysis of Defi Researchers Monk highlights the performance struggle for several blockchain projects after TGE. Since their token is being launched Strong netLocation, BlastZksync, RollAnd Dymension has experienced sharp reductions.

The strong exception to this trend is Hyperliquidwhose Hype -Token price has risen by 1100%. This highlights the rare in success in the middle of a sea of ​​struggling chains.

Historically, large -scale token lock has damaged prices. A study of Keyrock research found that 90% of the token locking leads to price declines, as increased supply often exceeds demand. When Vesting Schedules releases many symbols in circulation, early investors and insiders often pay out and intensify sales pressure.

Arthur, founder and CIO for Defiance Capital, reinforces this perspective. He illustrates significant reductions in TVL (total value -lined) among most of these chains after their token launches.

“This indicates not only weak demand for the token but also challenges when it comes to attracting and retaining users and liquidity,” Arthur Added.

Analysts explain why new chains are fighting

Noteworthy data about the defillars Exhibitions Projects such as scrolling and blasting have seen their TVL drop with more than 80% since their TGEs. The broader trend suggests that the market has an oversupply of block space.

According to Defiance Capital Executive, New Stock 1 (L1) and layer 2 (L2) chains have more difficulties in separating themselves. The challenge comes as an established network as Soana (Solar) and other appearance L2 solutions Continue to thrive.

“The Soana Speciality. 2024’s crop of L1 and L2S launched, pumped and sank. Tvl empty; Speculation faded and zero sticky demand. Meanwhile, Solana only continues to win, “Another user, Defibanked.Sol at X, commented.

The user emphasized that Solana’s strong basic factors make it possible to surpass newer chains. He quoted Solana’s exceptional speed (400 ms block times) and ultra-low transaction fees. According to the analyst, additional valuables on Solana include its flourishing ecosystem that extends over Defi and nftsThe Meme coinsand real assets (Rwas).

The struggle for the latest blockchain launches reveals a growing intolerance for redundancy. Projects that do not justify their existence will be moved to irrelevans. At the same time, established networks dominate with strong usability, user composition and liquidity.

Therefore, developers and investors must shift focus on innovation. New chains are at risk of becoming just another damages in an increasingly competitive space without a clear and convincing case.