Despite continued positive price action for major cryptocurrencies and U.S. stocks, confidence in altcoins appears to be at an unusually low level. Expectations instilled by previous cycles have left many investors disappointed with altcoin performance in this bull run, and portfolio returns have stagnated.
Looking at historical data, Bitcoin (BTC) has tended to perform well in July, with an average performance of +7.39%, compared to June’s average return of -6.96% over the past five years.
Although July has performed well historically, the cyclical nature of the market suggests that August and September may be weaker. Are there any opportunities for us to seize in July? Will the falling market really reverse in July?
"The third quarter is typically the weakest quarter, with an average return of just 5.87%." Due to the seasonal trends in Bitcoin's performance, the first and fourth quarters are historically the strongest quarters. Understanding these patterns can help everyone prepare for subsequent market fluctuations.
Over the past year and a half, the total market capitalization of cryptocurrencies has grown significantly but with surprisingly little volatility. Although Bitcoin has hit a new all-time high, the overall market is still far behind compared with the mania period of 2021. The reason behind this is mainly that altcoins cannot keep up with the growth rate of Bitcoin. The flow of funds into speculative assets was less than expected, catching many people off guard.
There is no doubt that in this bull run, Bitcoin has stolen the show, and has taken more and more market share during its rise, leaving altcoins far behind. In previous cycles, altcoins tried to catch up with Bitcoin, but now it has become a pipe dream. The step-by-step decline in liquidity has curbed any possibility of starting the next alt season across the entire market.
As for what coins to buy in July, the crypto summer? A comprehensive analysis of the current cryptocurrency market is conducted, based on narrative strength, catalyst potential, and current price levels, from high to low selectivity, and everyone can choose according to their own positions.
Ethereum (ETH)
Ethereum (ETH) has good liquidity and relatively low volatility in this round of the market. In addition, the upcoming Ethereum spot ETF is a potential key catalyst that may drive prices up.
Pendle（PENDLE）
Pendle is a strong company that has participated in narratives such as real world assets (RWA) and liquidity staking in this round of the market. Although the price has fallen during the token unlocking period, it is a good buying opportunity.
Pepe（PEPE）、BOME
In terms of meme coins, the most promising one is Pepe (PEPE), which has strong meme value and community cohesion, and has the potential for significant price appreciation during the bull market. In addition, BOME is also possible and can be classified into this category. You can choose one of the two.
Solana（SUN）
Among the mainstream currencies, Solana (SOL), the biggest competitor of Ethereum (ETH), is also one of the more promising currencies. Despite the liquidation of FTX, Solana (SOL) still has a strong performance, and currently in the meme ecosystem, Solana has a very important position. For this reason, Solana can be one of the main investments.
Prime（PRIME）
Prime (PRIME) has been involved in the fields of AI and gaming for a long time. Given the AI+GameFi narrative in this round of the market, Prime (PRIME) has the appeal and value of long-term holding.
Bittensor（TAO）
I am optimistic about Bittensor (TAO)'s dominant position in the field of artificial intelligence (AI). TAO may be one of the currencies that is most likely to achieve a return of more than 400% in this round of the market.
During market fluctuations, it is recommended to continue to absorb chips during the market's sharp sell-off and take profits during the sharp rebound. This strategy can help everyone achieve stable returns in the long run.
There is no need to stockpile all of them. You can choose according to your own capital size, operating preferences, and which ones you think have more promising prospects.
After facing the harsh market reality and various liquidations, it is inevitable that people will think that the investment opportunity of altcoins has passed. It is obvious at this juncture that if you don’t keep up with the narrative wave, it will become increasingly difficult to beat the investment returns of Bitcoin and Ethereum.
Unless you are watching the market for a long time or have enough influence, it is impossible to catch every trend. In today's market, the industry is full of negative sentiment, which means that investors need to rebalance their portfolios and consider risks. The future of the altcoin market is still unclear, but it shouldn't be worse.
Later, I will bring you analysis of leading projects in other tracks. If you are interested, you can click to follow. I will also organize some cutting-edge consulting and project reviews from time to time. Welcome all like-minded people in the cryptocurrency circle to explore together.
