As user activity declines, revenues weaken, and technical resistance intensifies, some analysts are beginning to warn that if the adoption rates of certain altcoins do not improve, they may face further downside risks.
Celestia (TIA): Sparse Users and Persistent Resistance
Valdez first analyzed Celestia, which currently has a market cap of around $300 million. Despite its high valuation, the network has only about 1,200 daily active users, the lowest among the analyzed cryptocurrencies.
Sei (SEI): Activity Exists, but Revenues are Slim
Next, Valdez focused on Sei. Although the network has about 7,000 daily active users, its generated revenue is extremely limited. The latest data shows that the chain generates approximately $232 in fees daily, totaling about $2,000 weekly. Additionally, around 6.7 billion tokens are in circulation, with a total supply of 10 billion, indicating that a significant number of tokens may still enter the market in the future.
Sonic (formerly Fantom): Weak Fees and Technical Pressure
The third project is Sonic, the rebranded version of Fantom. Network activity remains limited, with daily chain fees of only about $155.
Monad: Risk of Large-Scale Unlocking
Monad faces different concerns. The project's fully diluted valuation is close to $800 million, but only 10 billion tokens are currently in circulation, with a potential supply of 100 billion. A large number of tokens are still reserved for the team and early investors. Valdez warns that as these tokens unlock over time, they may increase selling pressure in the market.
Algorand (ALGO): Weak Fees but Potential for Technical Rebound
Finally, Valdez assessed Algorand. The network generates only about $12 in chain fees daily, but maintains around 26,000 active addresses, indicating stronger activity than other projects on the list. From a technical perspective, ALGO shows a more optimistic trend, with its chart displaying a descending wedge pattern, which sometimes signals the arrival of a bullish breakout.