Vitalik Buterin said in an interview that the price drop has exposed its weakness very well.
Vitalik Buterin does believe that the price drop helps reveal the problems that were there from the start. Unsustainable business models tend to be successful in good times, because everything is going up, so is the money people have at their disposal, so things can be propped up temporarily with the constant influx of new dollars.
He said the collapse of stablecoin issuer Terra’s (LUNA) native token was an example of a price crash that exposed an unsustainable business model.
Protocol development is easy to sustain during bull markets, but when prices plummet, it is often difficult for new teams to sustain financially.