Let's be careful. I heard this same logic from one of my favorite resource (mining) analysts this past week. He is assuming that all of the cryptocurrencies are actual currencies. This is ignorance. The number of coins are simply to the number of blockchain projects proposed, launching, developed or are simply scams. These are not like the currencies of every country. There are hundreds of useful and incredibly enabling blockchain technologies behind many of the cryptocurrencies. Sure some will fail because they are trying to do what another one is trying to do. Some are pure scams. But there is not a reasonable argument to support there being too many coins in the market. That would be like saying there are too many companies listed in the stock market and we need less of them.