Cryptocurrency has been on a downward spiral lately, but what does that mean for the future of the industry. Xapo President Ted Rogers believes that he has the answers, which he stated in a post on Twitter.
We could be in the midst of the extinction-level event for “cryptoassets” that many maximalists have predicted. 90%+ of @CoinMarketCap list will disappear eventually – might as well happen now. Meantime, lower BTC price means incredible opportunity to buy more #bitcoin
— Ted Rogers (@tedmrogers) August 14, 2018
The prediction coincides with the most recent developments of the industry, as almost every single major cryptocurrency token had an 80% drop in value, at least. Bitcoin seems to be one of the few coins to avoid this hit, though it still dropped slightly.
Most recently, about seven of the existing 15 largest crypto platforms have taken a 90% drop, which includes Ripple, Cardano, IOTA, Tron, Dash, NEO and NEM. With 80% losses, the list includes Ethereum, Bitcoin Cash, EOS, Litecoin, and Monero, Stellar and Ethereum Classic are nearing the 80% mark, while Bitcoin has seen a 70% sell-off, even though their price did not drop as much.
Right now, based on these numbers, Bitcoin holds a 54.3% dominance in the industry, which is the first time it has reached that number since mid-December 2018. Based on the information at CCN, it is possible that the sell-off of altcoins in the industry has been due to the various blockchain startups that have been launching their initial coin offerings (ICOs). It seems that these efforts have exhausted their efforts to the point of essentially consuming any of the tokens that other users have sold off to get involved.
With many analysts mimicking Rogers’ stance on this issue, there are many ICO brands that are trying to liquidate what they have before they completely go under. Unfortunately, ETH will end up taking much of the hit for this decision, considering that most of the platforms are based on their tokens. With this ongoing cycle, an “extinction-level event” seems like the best descriptor for the upcoming changes.