Why did the price of the coin drop after the mainnet launch (new coins in 2021)?

Why did the price of the coin drop after the mainnet launch? The reason is simple because no one participated before the mainnet went live. If they were miners, they would have been locked or at risk. But this is not something new. Many projects now run directly on blockchain networks, such as Ethereum, EOS, etc. The developers and investment institutions of these projects are relatively late. So, people’s interest in this industry is not very high.

But in reality, with the development of blockchain applications and more and more decentralized exchanges entering the cryptocurrency ecosystem, the market is starting to see some small changes: the price of Bitcoin has declined. This situation is actually a normal phenomenon. However, the DeFi tokens on Ethereum have not been able to recover their original high yields (especially in recent months). When we talk about whether Bitcoin will return to its previous level, we often see that the price of Ethereum has been rising, but there is no significant change after reaching a high point. In the long run, the price of Ethereum will continue to increase in a higher period of time.

Why did the price of the coin drop after the mainnet launch? Mainly because the circulation before the mainnet’s official launch was insufficient, and it is still uncertain how to adjust it. Therefore, people are more concerned about whether the main chain will restart and generate new value.

Of course, many people think this is good news, but it is not. Why did the price of the coin drop after the mainnet launch? Because although the main chain is not fully ready, once it goes live and the circulation increases, its value may further decline. Because only users know what assets they hold.

2021 New Coins on the Mainnet

On February 17th, according to OKLink data, the top five tokens in terms of quantity on the mainnet in 2021 are: ZRX, BNT, MXC, and MKR. Among them, MR rose 20% in April 2021 and more than 30% in early May. XRCX, after rising to nearly 60% in mid-February, has recently seen a continuous decline in price, reaching a low of around $0.5 and currently quoted at $0.283.

From historical data, since early 2020, the average growth rate on the EOS chain has exceeded 70%, while the average growth rate on the BTC chain is only 25%.