Pseudonymous Trader Dark Crypto Lord Offered a Sobering Analysis of Why the Cryptocurrency Market Is Currently Difficult for Retail Investors

In his latest tweet, the trader reflected on the waning era of effortless, high-yielding gains in crypto, pointing out the disparate conditions

CryptoLord On A Hard Crypto Year

Pseudonymous cryptotrader DarkCryptoLord offered a sobering analysis of why the cryptocurrency market is currently difficult for retail investors. In a recent tweet, the trader lamented the waning era of easy, high-multiplier returns in crypto, underscoring the contrasting conditions of the current alleged bull run.

Despite being in a bull run, most altcoins are trading below their prices from a year ago. Even newly listed altcoins have witnessed significant declines, with some performing worse than post-FTX crash levels.

The trader criticized current tokenomics, where projects launch with a low float and high fully diluted valuation (FDV), with venture capitalists dumping their tokens upon unlock. The narrative around investment has shifted from long-term worth to short-term gains on speculative meme coins.

Previously, investors were encouraged to dollar-cost average (DCA) into promising projects with revolutionary potential. Now, speculative investments in meme coins dominate.

“We are just telling people, hey if you put $500 in Dogecoin or a **washed**-up **celebrity**, there's a **chance** that you can make $100,000!” he said, highlighting the changing priorities.

It's unclear whether he includes older, more established memes like Dogecoin (CRYPTO:DOGE) and Shiba Inu (CRYPTO:SHIB) or refers mostly to newer meme coins like Dogwifhat (WIF). Prominent celebrity-launched and related coins include MagaMemecoin (CRYPTO:TRUMP), Mother Iggy (CRYPTO:MOTHER), and Caitlyn Jenner (CRYPTO:JENNER).

DarkCryptoLord also discussed how repetitive negative narratives have created a self-fulfilling prophecy: “Nobody's willing to invest their money in ‘tech’ coins anymore.”

The FTX Collapse

The trader also highlighted the lasting negative impact of the FTX collapse, which would now require a significant positive event to restore confidence. He also noted that news trading and presales are no longer as lucrative as before, especially for outsiders.

“We have to learn to adapt and grow. Just gotta be a lot more patient now and expect less multipliers,” he concluded**.

Next Up

The influence of meme coins and Bitcoin (CRYPTO:BTC) as an institutional asset class will be covered in depth at Benzinga's upcoming Future of Digital Assets event on Nov. 19.

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