Here's a step-by-step breakdown of the "Road to Altcoin Season" so you know when and where to put your money! 💡
1️⃣ Formation phase (Bitcoin dominance) 📈
🔹 Bitcoin bounces off key support levels and takes the spotlight.
🔹 Money flows into Bitcoin first, as the market begins to recover.
🔹Altcoins are still quiet during this phase. Don't rush to jump in yet!
2️⃣ Faith Gathering (Bitcoin Holds) 💪
🔹 Bitcoin breaks major resistance, sentiment starts to shift.
🔹 Altcoin Leaders (large-cap altcoins) are starting to outperform Bitcoin.
🔹 Bears start to exit, while market makers position themselves to capture liquidity.
🔹 Example: Ethereum often moves right after Bitcoin shows signs of stabilization.
3️⃣ Buying frenzy phase (altcoins start to explode) 🚀
🔹 Bitcoin breaks new records, attracting massive attention to the market.
🔹Altcoins are gaining momentum, with mid-cap projects outperforming.
🔹 Retail buying frenzy begins - projects with a strong narrative or buzz begin to rise.
🔹 Look for coins with strong fundamentals or popular use cases.
4️⃣ Euphoria stage (altcoin craze) 🐸💸
🔹 Your friends and family start asking you about cryptocurrencies for the first time.
🔹 Unknown tokens rise by 1000% in one day.
🔹 Everyone is stuck on their plans, trading around the clock.
🔹 BIG TIP: This is the most dangerous period. Start making profits as the euphoria builds!
5️⃣ The End (Market Crash) 📉
🔹 Most people ignore sell signals, thinking the market will go up forever.
🔹 Scams and rug pulls become common as low-quality projects collapse.
🔹 Bitcoin dominance starts to rise again, indicating a cycle reset.
🔹 The “smart money” has already left, leaving retail traders with huge losses.
🛠 How to use this guide effectively
Focus on Bitcoin first: Wait for BTC to establish a strong trend before entering altcoins.
Watch Ethereum closely: it's often the leader in altcoin momentum.
Make profits gradually: Don't lose when the cycle reverses.
Avoid Bad Coins at the Top: The end of the cycle is when most scams occur.
💡 Pro tip: Track your money flow in this order:
Bitcoin → Leaders → Ethereum → Narrative Altcoins → Bad Coins.