The cryptocurrency market in 2024 presents a surprising picture: Bitcoin is far ahead, while the once-glorious altcoins have fallen into an unprecedented silence. This abnormal phenomenon has sparked deep reflection among market participants: have we had overly high expectations for altcoins, or has the entire market ecology undergone fundamental changes?

The launch of the Bitcoin ETF is undoubtedly the main driving force behind this situation. Wall Street institutions have changed their previous critical stance on Bitcoin and have invested heavily in purchasing ETFs. At the beginning of 2024 alone, as much as $129 billion has flowed into the Bitcoin ETF market. This massive influx of funds has not only driven up the price of Bitcoin but has also siphoned off funds that might have originally flowed into altcoins.

At the same time, investors' risk preferences have also changed significantly. In a high interest rate environment, investors are more inclined to view Bitcoin as a relatively safe "haven," rather than taking risks by investing in more volatile altcoins. The differences in regulatory environments are also a key factor; the U.S. Securities and Exchange Commission (SEC) has yet to approve any altcoin ETFs, which means institutional funds find it difficult to enter the altcoin market on a large scale.

The shift in attitude among retail investors is also worth noting. The market crash in 2022 left many with profound lessons, leading to a more conservative investment strategy as more people chose to hoard Bit instead of risking investments in altcoins. This trend is corroborated by the decline in Google search volume and social media discussion heat.

Currently, there are nearly 15,000 different tokens in the cryptocurrency market, most of which are in a "zombie" state. Aside from a few projects that can tell compelling stories (such as those related to AI or the tokenization of physical assets), most altcoins struggle to attract the attention of investors.

This shift in market dynamics may signify that the cryptocurrency ecosystem is undergoing a significant reshuffle. Investors are becoming more rational, and capital flows are more concentrated, which may indicate that the entire industry is maturing. However, for numerous altcoin projects, finding a way to survive in this new environment will be a huge challenge.