Home web3.0 Analyst Miles Deutscher Reveals Strategies For Identifying Resilient Altcoins During The Crypto Market Crash, Emphasizing Low Inflation And Strong Community Engagement

Analyst Miles Deutscher Reveals Strategies For Identifying Resilient Altcoins During The Crypto Market Crash, Emphasizing Low Inflation And Strong Community Engagement

Jun 24, 2024 pm 04:05 PM

Analyst Miles Deutscher Reveals Strategies For Identifying Resilient Altcoins During The Crypto Market Crash, Emphasizing Low Inflation And Strong Community Engagement

Evaluating Altcoin Potential During Market Downturns It was recently disclosed by analyst Miles Deutscher that retail investors are becoming increasingly wary of new token releases because to their high valuations and ineffective airdrop execution. As a result, they are leaning towards purchasing tokens that have higher public market liquidity.

Miles Deutscher, a cryptocurrency analyst, has shared some strategies for identifying resilient altcoins during the crypto market crash, highlighting low inflation and strong community engagement.

Retail investors are becoming increasingly wary of new token releases due to their high valuations and ineffective airdrop execution, preferring to buy tokens with higher public market liquidity, according to the analyst.

"The days of easy venture capital wins might be coming to an end, considering recent projects’ public market valuations, which are lower than their private market valuations," he added.

Focus on tokens with low inflation in volatile times

People should prefer tokens that have low inflation, he suggested. This could indicate that a large portion of the token's supply is already in circulation or that the rate of inflation is very low during the time that you have access to the trade window.

How can one identify potential projects in this era? According to the analyst, initiatives in sectors like gaming, real-world assets (RWA), and artificial intelligence (AI) tend to have clear narratives and strong leadership.

Sector-specific strategies for stability

A compelling narrative is key in the market. Projects should differentiate themselves. This could be new technology, features, or product upgrades. Avoid copy-paste projects like the tenth Layer Two launching in a month unless they bring significant new improvements.

Look for tokens with buybacks, burns, and good staking yields beyond governance. These dynamics reduce circulating supply and boost price appreciation, building a community.

A strong and engaged community often accompanies sustained price appreciation. They value community feedback, embrace crypto culture, and are memeable rather than corporate.

Low inflation helps sustain price stability. One example is Ono, which has seen good price appreciation despite low circulating supply and short-term inflation, which has been described as successful.

One example, according to Coinpedia, is Ondo's recent price increase, which has been attributed to its very limited circulating supply and negligible inflation, both of which have been described as successful He suggests that future projects could follow suit and control supply pressure by avoiding large initial airdrops.

Photo: Traxer/Unsplash

News source:https://www.kdj.com/cryptocurrencies-news/articles/analyst-miles-deutscher-reveals-strategies-identifying-resilient-altcoins-crypto-market-crash-emphasizing-low-inflation-strong-community-engagement.html

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