Anything excess does not go well with the existence of human species and it can push them to the survival mode. For example, excessive rains can lead to floods forcing people to set their priorities for survival as Harvey has done to Houston, Texas.
The same applies to even Startups too. As nature has its own ways to curb anything in excess, business to has its times to curb down these excesses. During the dot com burst, stories floated around that it was an end of the software. We did see quite a lot of dot com companies wipe out without names, at the same time, the software did survive; slowly evolving like Phoenix much stronger and adapted itself in different forms as seen today.
Even if the 2 startups out of 10 succeed in business it is considered to be very good. It is better to be aware of the facts around you but at the same time let this information not deter you from doing what you aspire to do.
The key is to take one step at a time with calculated measures, avoiding cash burn that is not necessary and being focused on your profitability there by getting yourself out of the lean phase of survival. Ignore the times you are in whether it is dot com burst or start-up burst. Have your growth chart set with realistic goals with time frames as per one’s requirements. On reaching short term goals successfully you are bound to reach the final goal. As an adage goes “It’s the beginning which is the toughest”. Once you have begun the journey, the path of entrepreneurship will be filled with learnings from everyday experiences resulting in building your dream project.