Altcoin market value exchange rates seem to show signs of bottoming out!
Going long on altcoin exchange rates seems to have a chance, but going long on altcoin in U.S. dollars still depends on BTC's performance;
By the way, how to operate when going long on exchange rates?
Assuming you have $20,000 in idle funds and want to go long on ETH/BTC, you only need to simultaneously open a $10,000 short position on BTC and a $10,000 long position on ETH, which is equivalent to cross-currency hedging;
In a scenario where the exchange rate strengthens, BTC rises, and ETH rises even more, profit!
If BTC falls, ETH falls less, still profit!
So if you can ensure the exchange rate strengthens, this is a trading opportunity!
However, no one can ensure that the weak ALTs/BTC exchange rate, which has been weak for many years, is not just a rebound this time but a bottoming bullish trend, so you still need to be a bit cautious in your approach, and at least set a stop-loss;
Here, ETH/BTC is just an example; theoretically, any altcoin that is correlated with BTC can be traded, the stronger the exchange rate trend, the better;
So why not go long in U.S. dollars directly?
Because you cannot determine if the process of the exchange rate strengthening is completed through BTC rising or falling, therefore directly going long on altcoin in U.S. dollars carries a risk from BTC's pullback;