The bull market usually goes through the following stages:
BTC-dominated stage: Bitcoin occupies a dominant position in the market, attracting capital inflows, and the altcoin market is relatively weak. Bitcoin continues to be strong and attracts investors' attention.
ETH relay stage: Ethereum takes over the leading baton, and the price soars. At the same time, various hot altcoins are also rising with it, especially in the fields of Ethereum's Layer 2, chain games, metaverse, new public chains, etc., which are beginning to be active.
National frenzy stage: Almost all currencies begin to rise, and investors generally enjoy the feeling of rapid asset appreciation. The market is filled with FOMO sentiment. The surge in worthless currencies such as MEME coins, dog coins, pheasant coins, and air coins makes people doubt the rationality of the market.
Crash stage: The market eventually ushered in a correction and collapse, the mainstream coins retreated sharply, the plunge of altcoins brought widespread panic, the bubble burst, and many highly valued projects suffered a tragic sell-off.
This cycle will experience short-term extreme optimism and extreme panic. Investors need to operate cautiously and avoid blindly following the trend.
