The Rhythm of Altcoins in a Bull Market: Early Stage or Prelude to a Frenzy?
What stage are altcoins currently in?
First, let's talk about the overall rhythm of the bull market. This round of the bull market will present two distinctly different phases around the time Bitcoin (BTC) breaks through $100,000. After the breakthrough, the bull market will enter an acceleration phase, that is, a super frenzy phase, where both Bitcoin and altcoins will rise sharply in turn. Therefore, I have repeatedly emphasized that the $100,000 level for Bitcoin will not be easily breached; even if it is just a little bit away, it will not break through immediately.
The $100,000 price level is of great significance. Before breaking this level, BTC and SOL have entered a consolidation phase, which I have mentioned many times and will not elaborate further. At the same time, the Ethereum exchange rate has started to reverse, old altcoins are surging, and the prices of new coins are also continuously climbing.
Currently, the altcoin season is in its early stage. Although some old junk coins are surging, this is just the prelude. The Ethereum exchange rate has just begun to reverse, and ETH ETFs have also started to see net inflows. Next, we can expect a big surge in Ethereum. Although there are no positive news for Ethereum at the moment, I believe it will arrive soon and will coincide with a significant rise in Ethereum.
It is important to note that the current rise in altcoins is just a rebound; after a certain upward space, it should be timely to take profits. Unless Ethereum sees major application innovations, a trend-driven bull market has not yet arrived. Additionally, there is a volatility risk: when Bitcoin rises from $60,000 to the $100,000 level in a short term, the size of open contracts surged from $35 billion to $64 billion, which could lead to long leverage being killed downwards. If there is a wave of deleveraging in the short term, then it will be a good time to enter the market without too much worry.
