As you can see for yourself, now mainly BTC and ETH are growing, while the rest of the coins are hanging around + - at the same levels.
Why is that?
If you, like me, are taking medium-term positions on alts, then you don’t have to worry because in % alts will ultimately bring more profit than just buying Bitcoin, but it’s important to enter positions in time. Therefore, you need to buy them now, and not after they grow by another +200+300%.
But paired with BTC, any altcoin will lose in the long term and this is a fact.
❓ Why are alts lagging behind Bitcoin?
In fact, this is a fairly common phenomenon and the same thing happens in every bull cycle... And this is not a feature of the crypto market, everything happens the same way in the fund.
❇️ First of all, large capital buys the most reliable assets, since they contain much less risk. And only then, when all the major players have entered the flagship position (BTC on the crypt or Apple on the fund), the flow of capital into less liquid shares and alts begins.
As a rule, the following scheme operates on the crypto market: First there is a growth of BTC -> then a growth of ETH -> other coins from the TOP 10 -> alts from the TOP 100, etc.
❗️Of course, there are exceptions and some alts are growing stronger than the entire market, but this is only because such alts have very low capitalization and there are simply no sellers in such coins.
Sooner or later, there comes a time when liquidity from Bitcoin begins to flow into alts. As a rule, at such moments Bitcoin goes sideways, and alts begin to shoot by hundreds of%. At this moment, a crowd of newcomers usually comes in and buys the market at the highs, and after that the market begins to decline 📉
Therefore, it is better to make purchases in alts now, and not when there is massive hype for this business. Now Bitcoin's dominance continues to grow, with many alts up +100-200% from their bottom!
Imagine what will happen to alts when Bitcoin's dominance begins to fall? The answer is obvious - the violent growth of alts.
In this blog, I share my personal experience and how I control risks in client accounts. I talk about how not to fall into the trap of emotions and how to create a long-term strategy for increasing capital on this channel.
There are a bunch of promising ideas ahead, subscribe 🚀
