Could this be the pullback before the breakout ?

ByteRoll

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Crypto funding dropped nearly 30% in August despite solid project growth. Some termed it as a bearish signal with VCs holding back in expectation of weaker markets conditions. On the flip side, some said it’s bullish given that reduced funding often results to weaker projects wiped out while the stronger ones are left to be supported further.

Is it safe to say this slowdown is just part of the cycle setting up for the next rally or this is an early bearish signal that capital is shifting elsewhere, I mean to other narratives like AI and RWAs ?
 
30% drop is good compared to market-wide drop in vc funding. Should be back up this month.
 
Funding dips sometimes just mean smart money is waiting for the perfect entry, not necessarily bearish
 
Crypto funding dropped nearly 30% in August despite solid project growth. Some termed it as a bearish signal with VCs holding back in expectation of weaker markets conditions. On the flip side, some said it’s bullish given that reduced funding often results to weaker projects wiped out while the stronger ones are left to be supported further.

Is it safe to say this slowdown is just part of the cycle setting up for the next rally or this is an early bearish signal that capital is shifting elsewhere, I mean to other narratives like AI and RWAs ?
Pullbacks like this are normal in crypto. They’re not always bearish sometimes weak projects get flushed out and strong ones survive.
 
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