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As the short-term future of decentralized finance (DeFi) tokens seems uncertain, analysts in the space have weighed in on what they think comes next.

Many believe that the fundamentals of this space are better than ever. For example, the total value locked in DeFi contracts recently hit an all-time high above $12 billion despite the value of DeFi coins plunging 12% from their highs.

Still, it’s not easy to say that this segment of the market has bottomed. Some analysts recently shared the opinion that Ethereum tokens have further to fall.

This comes after a number of top coins in this category such as Aave’s AAVE and Yearn.finance’s YFI, have surged approximately ten percent from their local lows. Other DeFi coins such as Chainlink have also rose higher as buyers enter positions in popular projects for the long haul.

DeFi has further to fall, multiple analysts say

Much of the DeFi space has yet to find a long-term bottom, experts say as both Bitcoin and Ethereum find short-term highs in their price trend.

Qiao Wang, the ex-head of product at Messari and a popular crypto analyst, recently said:

“Assuming BTC doesn’t moon anytime soon, a -50% nuke is more likely than a +50% from here for DeFi IMO. After that we can begin a 2017-style bull market for the quality DeFi assets.

Assuming BTC doesn’t moon anytime soon, a -50% nuke is more likely than a +50% from here for DeFi IMO. After that we can begin a 2017-style bull market for the quality DeFi assets.”

The pseudonymous cryptocurrency trader “Degen Spartan” also shared a similar cemment.

The investor, who was a champion of DeFi yield farming all summer, recently tweeted:

“So basically if BTC gigapumps out of 14k I’ll become neutral on defi alts in that I think they would hold their USD value from the rising tide (but crater in sats and eth). If normies start coming in, I’ll be back to bullish.”

Others have taken a “glass half full” approach, saying that while some coins pertaining to this space have bottomed, the majority still have room to extend to the downside.

As reported by CryptoSlate previously, Su Zhu, CIO and CEO of Three Arrows Capital, said that while he thinks investors will start to deploy capital into “top-tier” DeFi coins, he expects 95 percent of altcoins to be down against Bitcoin in future.

Bitcoin weakness unlikely to help

Potential weakness in the price of BTC seems unlikely to help the price of altcoins moving forward.

The stock market underwent a strong move lower last week because of concerns about continuation of the pandemic and further lockdowns. The U.S. Presidential Election also stands to further drive stocks and risk-on assets lower.

While Bitcoin has started to decouple from the S&P 500, experts fear that in a world where equities begin to move strongly lower once again, few assets will be spared from a sell-off.