TechFlow news, according to Cointelegraph, Stacks co-founder Muneeb Ali said at Consensus 2025 that the "honeymoon period" for Bitcoin Layer 2 projects has ended, predicting that over two-thirds of such projects will disappear within the next three years. Ali emphasized that not all projects possess sufficient mission-driven purpose or determination to keep building, and most have realized how intensely competitive the market has become.
Regarding the Bitcoin ecosystem, Ali noted that trading volume and market capitalization across the entire sector are currently suppressed. When seeking low-risk options, investors tend to favor blue-chip projects expected to survive at least five years. He also predicted that as the influence of blockchains like Ethereum and Solana declines, the market will increasingly shift toward Bitcoin.
He stressed that Bitcoin is attracting external capital inflows from outside the industry through instruments such as spot ETFs, while other projects compete within the same funding pool. Based on data from the past decade and the halving cycle pattern, he believes Bitcoin's price will not fall below $50,000, and major hedge funds will follow this trend.
