Cryptocurrency analyst Miles Deutscher recently shared his views on the altcoin market on social media. Unlike the extreme easing conditions of 2021, the current market environment has changed. 🚀
Firstly, the number of new projects has surged, leading to dilution in the altcoin market. This means that not all altcoins will rise simultaneously anymore, but rather there will be larger yet more limited rotations, such as the rise of AI and Meme coins. 📈
Liquidity will also gradually flow into the market, rather than experiencing a sharp increase like in 2021. At the same time, strong ETF liquidity has reduced the impact of Bitcoin's rise on liquidity, and now it is more of a psychological effect. 💡
The market will increasingly shift towards being a trader's market, and the traditional strategy of "holding many coins waiting for a rise" may no longer be effective. Investors need to adjust their strategies based on current market conditions to seize new opportunities. 🔍