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Data-driven crypto cycle analysis

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Why 95% of Coins Underperform Each Cycle

Historical data shows that most cryptocurrencies experience significant cycle degradation. New listings often outperform established coins in their first bull run.

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Coins Analyzed
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Coins That Degraded
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Average Cycle Degradation
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Coins That Improved

The New Listings Advantage

The data reveals a powerful pattern: cryptocurrencies tend to have their biggest percentage gains during their first bull market cycle. After that initial explosion, most coins experience significant "cycle degradation" — delivering smaller returns in subsequent cycles.

📈 First Cycle Advantage

New coins often deliver 10x-100x gains in their first bull run. Examples: SOL did 51,683% in 2018-21, then only 2,915% in 2023-25 (-94% degradation).

📉 Cycle Degradation Reality

93% of coins with two-cycle data show degradation. The average drop in run-up percentage is -85%. Only 3 coins (ZEC, INJ, ZEN) improved cycle-over-cycle.

🎯 Strategic Implication

Consider focusing on quality new listings early in a cycle, rather than holding established coins expecting similar returns. The first rally is usually the biggest.

⚠️ The Meme Warning

Meme coins like DOGE (-98%), SHIB (-100%) had historic first cycles. Their subsequent performance suggests the narrative has peaked. Be cautious of "sequel" gains.

Key Insight: Bitcoin degraded -68%, Ethereum -95%, Solana -94% cycle-over-cycle. Even the best projects rarely repeat their initial explosive gains.

Cycle Degradation Visualization

Comparing 2018-2021 vs 2023-2025 cycle run-up percentages for coins with historical data

Improved (rare!)
Degraded
New Listing (no prior cycle)
# Coin ROI 2025 % 23-25 Run-up % 18-21 Run-up % Cycle Change % Bear Proj. Bull Proj. Notes