Tokens Near All-Time Highs
Bitcoin is at all-time highs again. But what about the rest of the digital asset space? Looking out at the Top 150 tokens by market cap, only a small handful have approached all-time-highs (ATH) in the last week. Those tokens have since fallen off those highs, leaving BTC the sole token in the Top 150 within 5% of its ATH. For comparison, as recently as the end of 2024, 12 other tokens were within 5% of their ATHs. On average, tokens in the Top 150 after BTC are trading at <23% of their all-time highs.
This isn’t merely a distortion caused by the eye-watering prices achieved during the 2021 bull run. Only 58 names in the Top 150 at the peak of the 2021 cycle are still in the Top 150 today. 78 names in the Top 150 today didn’t even exist in 2021. Point being: the comparison to all-time-highs for many tokens does not include the exuberant 2021 period.
What’s that mean for investors today? There’s still significant opportunity in high-quality digital assets outside of Bitcoin. In light of growing regulatory clarity (e.g. stablecoin bill advancing through the U.S. Senate, SEC lawsuits getting dropped), continued adoption (stablecoin growth), and strengthening business models (DeFi projects generating $100s of millions in annualized revenue), we see a continued mismatch between price action and fundamentals.
In the long run, we believe the tremendous upside of Web3 is orthogonal to shorter term macro-driven market movements and that current price levels could offer a strong entry point for investors with a long-term mindset conducting due diligence in this space.
*The information herein is for general information purposes only, is not investment advice, and should not be used in the evaluation of any investment decision. An investment in digital assets involves a high degree of risk. Past performance is no guarantee of future results.
