In previous bull markets, all altcoins did not surge at the same time. This does not refer to a 10-30% increase, but a 300-700% or even higher increase. These rotational surges constitute the entire bull market cycle.
Money is constantly flowing between different tokens, which is why alt seasons don’t last just a week, but months. Here’s how money used to flow:
BTC > ETH > High Market Cap Tokens > Low Market Cap Tokens > BTC…
But today this model is outdated and the current money flow cycle is more nuanced. Each phase is discussed in detail below.
Phase 1
BTC is leading the way as always. Market giants lead the crypto trend, but once BTC stops rising (or its rise slows down), other tokens will take over.
Phase II
SOL, as the leader among altcoins in this cycle, is starting to rise. Some other major altcoins may follow, but their performance is weaker (it is currently at this stage).
Phase 3
The following tokens may “take over” the rise of SOL:
Mainstream memecoins: DOGE, SHIB, PEPE, WIF, BONK, POPCAT
Mainstream altcoins: RENDER, SUI, APT, LTC, etc.
Some tokens may underperform or break out late
Stage 4
The hottest narratives dominated this phase: Memecoins, AI, RWA, and some combinations of these narratives, such as AI memes and AI x DePIN.
Some narratives will be skipped and players will be stuck. So choose wisely.
Stage 5
During this phase, low market cap coins start to rise rapidly, even every hour. This phase is the best time to trade robust memecoins and projects with good fundamentals. Choose the best performing coins, as there are often market surges and crashes.
Stage 6
Money is flowing back into BTC. These cycles are becoming increasingly unpredictable as the market matures. Don’t waste this bull run, you still have time to make life-changing money in the next 5-9 months.