What impact has the bear market on launchpads and IDOs?

PEAKDEFI
2 min readJun 26, 2022

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In a bear market, cryptocurrencies decrease significantly in price. Investors who made investments in projects during the last 8 months, realized losses in their portfolios. The fear and greed index doesn’t leave the “fear” area, which indicates uncertainty in the market.

Nevertheless, apart from the falling price of the majority of cryptocurrencies, strong projects don’t decrease in real value. Good projects, with strong fundamentals, a good usecase and team behind the project will survive the bear market and will thrive even more during the next bull run, while most weak projects won’t survive this phase. This makes the bear market a perfect time to invest into strong projects to an even lower price. Finding these kinds of projects is the main task of good launchpads such as PEAKDEFI Launchpad, so the community gets the best investment opportunities in time before the bull market starts, and prices start to rise.

Currently many project founders are hesitant to launch their project as they are unsure whether the market value will continue to decrease. This would mean that the uncertainty in the market will lead potential investors to hesitate investing in startups and wait till the market starts to recover again.

Why are presales the best investment opportunity in the bear market?

Investing in already launched and listed cryptocurrency projects during the bear market could be risky as the market value could continue to fall. In case of a startup which was not officially launched, the founders have time to prepare for the presale without any selling pressure from token holders, whereafter during the presale phase, users can buy tokens for a very low price to help the project raise funds and build a community before launch.

After presale, investors can watch their portfolio grow and earn profits through their presale investments without the fear of losing their money, as the vesting period after the launch prevents investors from selling their tokens. As a conclusion, the bear market provides the opportunity for investors to still raise their portfolios while big coins are decreasing in price.

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PEAKDEFI
PEAKDEFI

Written by PEAKDEFI

PEAKDEFI is a crypto ecosystem, to help you grow your wealth. https://peakdefi.com/

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