Prominent venture capitalists are publicly clashing over whether non-financial Web3 and blockchain applications have failed to achieve product-market fit, or if the sector is simply in an early phase awaiting broader adoption. This debate unfolds as BTC volatility keeps Bitcoin hovering near the $70,000 level and altcoins like Solana continue to face downside pressure.
Crypto VCs split on the future of web3 beyond finance
A growing rift has emerged among leading crypto venture capitalists centered on whether Web3 use cases outside of trading have failed to attract meaningful user demand, or if they are still early-stage innovations waiting for the right conditions to scale.
The debate gained traction after a16z crypto managing partner Chris Dixon published commentary suggesting that the slow adoption of non-financial Web3 products stems less from weak ideas and more from years of industry setbacks.
According to Dixon, repeated cycles of scams and sustained regulatory pressure have eroded trust and discouraged builders from fully exploring blockchain’s broader potential.
Bitcoin news: BTC hovers around $70k as crypto fear index remains on “extreme fear”
The Bitcoin news this past week has reflected deepening caution across crypto markets, with the flagship asset recently facing a noticeable pullback before stabilizing near the $70,000 level. After starting the week on February 3 trading at $77,740, BTC dropped and is now around $69,000 as of February 9, marking about a 14% decline over the week.
The recent Bitcoin news and its price drop coincide with persistent “extreme fear” readings on sentiment gauges like the Crypto Fear & Greed Index, which has plunged toward the 9/100 region. This is a level often seen during major sell-offs, indicating how investors are responding.
SOL drops further below $100 as bearish conditions intensify
Following the recent Bitcoin news, Solana has extended its sell-off this week, losing significant ground as bearish sentiment grips the crypto market. After starting the week on February 3 at $102.98, SOL followed a downward trajectory and, as of February 9, is trading at $83.69 and down 19% over the past seven days.
The break below the $100 psychological level, a key support zone, reflects intensifying bearish pressure that has dominated price action, with technical indicators showing rising short interest and expanding downside conviction among traders.
Conclusion
As the recent Bitcoin news delivers another wave of uncertainty, traders are now moving away from large-cap altcoins and toward projects with live utility. In the middle of volatile price action and fragile market sentiment, DeepSnitch AI stands out by giving holders access to real-time intelligence.
