Shocking version: Deduction of the currency circle stage
1. Blockchain revolution, to invest in value projects with revolutionary innovation.
Some people bought ETH, some bought EOS; some bet on SOL, some heavily invested in DOT.
Institutions and project parties have built a large number of value projects in the above path, with higher and higher valuations, and they all look forward to selling to retail investors in this round of bull market.
2. Value is to take over
A large number of value coins have flowed into the market with more than 10 times the number and FDV in the past, and have begun to unlock in large quantities. Currently, 5 to 10 billion US dollars are unlocked per month, and the total inflow of ETFs is only 10 billion.
People no longer take over VC coins, buy memes, and start discussing the value investment of memes, and begin to ignore that the essence of memes is that more people need to buy and the dealers will not smash the market for the time being.
Moreover, people currently ignore that the total market value of more than 100 billion and fully circulated memes also means tens of billions of stupid money that can be smashed, and its risks are as high as the expected income from getting rich.
3. Meme coins lead to the collapse of the market
Meme coins will not rise indefinitely. Once the funds stop flowing in, it will be a high point. The dealer is not omnipotent. When the market value is getting bigger and bigger, it is more and more difficult for meme coins to rise.
I like meme coins, but when everyone is optimistic and venture capital begins to enter, perhaps the invisible high point begins to approach.
The currency circle is mainly composed of speculators. The biggest characteristic of the crowd is that they have no patience. Therefore, assuming that there is no big market in the next few months, meme coins may experience a huge collapse-style correction.
If people are disappointed with meme, they will despair of the currency circle and trigger a round of altcoin collapse.
4. People return to value
When altcoins are brought down, for example, when the total market value falls by more than 70%, the total market value of altcoins will be around 300 billion, which will have the possibility of starting a round of altcoin market with a general increase of 7 times.
5. Meme rises again
Just like the cycle, the money people earn on value coins will flow into memes that have fallen a lot at that time, and start the last dinner of this round of bull market.
The above is just a personal thinking memo, which needs to be verified by the market and time. Although the market is full of variables, I believe that some underlying logic will drive the market to move like a pendulum. It may not be so precise in time, but I hope it will be correct overall.
A vague correctness is better than a precise error.#山寨币热点 #ETFvsBTC #ETH