Bitcoin continued its decline over the weekend, dropping further and falling below $94,000 during the day. Bitcoin attempted to break the $100,000 threshold last week but failed, with strong profit-taking sentiment; it has now cumulatively dropped about $6,000 from its historical peak, breaking below the November 21 low of $93,850.62.
Ethereum remained relatively strong, with an intraday increase of up to 3.9%, exceeding around $3,500. As of the time of writing, it is reported at $3,446, with a 24-hour increase of 3.64%; other recently strong altcoins also show signs of resilience.
The cryptocurrency that has been hit the hardest in this bull market is Ethereum. The big pancake has already made new highs, and SOL has also broken new highs, yet Ethereum hasn't even topped $4,000. But I must say, in recent days, Ethereum's performance has actually been stronger than the big pancake.
Many friends have added to their spot positions in the past couple of days. After today’s drop, it feels like they have bought at the peak, but there is no need to panic; it is impossible to come in and expect to make big money immediately. In fact, bull markets are much easier than bear markets; as long as you become friends with the trend and time, you will already outperform 90% of the investors in the market.
What will Bitcoin's future trend look like?
The current trend is exactly the same as in 2020, both starting to rise in October and doubling by November 25. Last time it was from $10,000 to $20,000; this time it is from $50,000 to $100,000.
Every year, the last Friday of November is the traditional Western shopping spree known as Black Friday, which aligns with the pattern of market drops during holidays. Many retail investors withdraw money to spend, which will pull out a significant amount of funds from the cryptocurrency space.
Of course, the amount withdrawn is not that large, but many people will anticipate this kind of pullback; so even if they do not go shopping, they will sell at high points, and when both factors combine, it amplifies the pullback effect.
Can this pullback trigger the arrival of the altcoin season?
Unless there are large applications emerging in the altcoin ecosystem, altcoins will still be in a rebound and catch-up phase. Bitcoin is consolidating around $100,000, meme coins are adjusting, and funds are rotating into the altcoin sector, bringing in market activity. During this time, many obscure old coins have surged significantly, as their institutional holdings are concentrated, making them easy to pump. From a fundamental perspective, ETH's on-chain activity and demand remain unchanged, gas fees are still at historical lows, and inflationary pressures persist. The high FDV of altcoins and the ongoing unlocking issues have not changed. Therefore, the market trend is still a rebound and catch-up.
It should be noted that this time, the altcoin sector is only a rebound; after a good run, it’s still advisable to take profits, unless Ethereum sees significant application innovations, leading to a trending bull market, or if new innovative sectors emerge in altcoins that attract market speculation!
After the big pancake rises, stop and wait for the altcoins; this cycle must repeat to create the altcoin bull market we are familiar with!
