Cryptocurrency Sector Rotation:

Cryptocurrencies have cyclical sector rotations. Judging from the flow of funds, the cryptocurrency bull market is divided into 4 stages.

Phase One: Bitcoin skyrockets.

The inflow of funds from both inside and outside the circle caused Bitcoin to skyrocket. Subsequently, funds slowly flowed into Ethereum, but it was difficult to keep up.

Bitcoin's pace continued until an inflection point appeared, and Ethereum's increase began to exceed that of Bitcoin.

The second stage: Ethereum becomes the protagonist.

At this stage, the price performance of Ethereum exceeds that of Bitcoin, and the market is beginning to believe that the long-term price performance of Ethereum will exceed that of Bitcoin.

"Bitcoin". At the same time, funds began to slowly flow into mainstream currencies, and the top 20 mainstream currencies began to rise.

The third stage: mainstream currencies rise.

Ethereum outperformed Bitcoin, and the top 50 cryptocurrencies by market capitalization began to surge. Regardless of market capitalization, some new technologies with strong fundamentals

Altcoins are starting to become the focus of the market.

The fourth stage: altcoins are in chaos.

At this stage, many high-quality blue chip coins continue to break new highs. Mid-cap, low-cap, micro-cap cryptocurrencies all at the same time

Continuing to rise, it seems that every coin has surged regardless of fundamentals, and blue-chip coins have far outperformed Bitcoin and Ethereum.