Bitcoin has once again broken new highs today, continuously surpassing $105,000 and $106,000 in a short time. Today it reached a historical peak of $106,648. With Trump officially taking office and other countries continuously releasing positive news, the upper space for Bitcoin is limitless, with a high likelihood of breaking $120,000 or even reaching $150,000.
The surge in Bitcoin will certainly drive the rise of other cryptocurrencies. This has increased the popularity of cryptocurrencies and enhanced everyone's confidence in investing in them! Currently, one Bitcoin can buy an ordinary BMW 7 Series in China. The overall price is quite high, and for retail investors, investing in Bitcoin now requires significant capital for relatively small returns, which is not very cost-effective. We are currently in the second phase of the bull market, and this stage is a good time to invest in altcoins, which require smaller investments but offer greater potential!
The altcoin season is a cycle in the cryptocurrency market where altcoins outperform Bitcoin. Based on previous bull market experiences, it usually occurs after a significant increase and stabilization of Bitcoin. Historically, during altcoin seasons, many potential altcoins emerged, with SHIB, DOGE, and others representing that cycle in 2021. The increase can reach dozens to hundreds, or even several hundred times; seizing one can create substantial wealth!
Looking back at this bull market, many altcoins have performed outstandingly, with Dogecoin being a representative. Since the beginning of this bull market, Dogecoin started from 0.1, riding the fast track of Trump's election, combined with Musk's continuous promotion and a stream of positive news, it surged continuously for 11 days, peaking at $0.48. The overall increase approached 500%! This has once again raised the heat and interest in the crypto market, with many newcomers to the crypto circle asking, 'How do I buy Dogecoin?' 'Can I buy Dogecoin?'
If Dogecoin represents the old-school altcoins, then Squirrel as a new altcoin should fit well. Similarly emerging from the onset of a bull market, a viral story about a popular squirrel has brought it into the crypto circle. Riding the fast track of the election, it launched at 0.3 on Binance and peaked at $2.5, an overall increase of nearly 8 times. Although many investors have been trapped at high points, the price of PNUT still hovers around $1.1. Perhaps once Trump officially takes office or more positive news emerges, Squirrel will take off.
As the end of 2024 approaches, the cryptocurrency market is pointing towards the next altcoin season. From institutional interest to advancements in blockchain technology and improvements in the practical applications of altcoins, opportunities have arrived. This may be the moment we have been waiting for: to seize the next big wave in crypto history.
The overall economic environment in 2024 is more favorable than in previous years. Central banks are also inclined towards easing, making risk assets like cryptocurrencies once again attract the attention of investors. Additionally, last month the Federal Reserve lowered rates by 50 basis points, injecting fresh liquidity into global markets, which is one of the key factors driving speculative assets. The clarity of regulations in major markets, such as the EU's MiCA framework, has also helped reduce uncertainty for investors. The approval of Bitcoin ETFs has had a tremendous impact on the market, facilitating more funds to flow into the cryptocurrency space, thereby increasing the liquidity of altcoins.
So, what should we focus on at this stage?
1. Ethereum (ETH)
Although ETH is the second-in-command in the crypto market, its price, market heat, and value space are currently second only to Bitcoin. It is the cornerstone of the crypto ecosystem. The latest Proto-Danksharding development allows for better scaling of the blockchain and further reduces transaction costs. This also solidifies its position in DeFi and decentralized applications. Additionally, the integration involving major financial institutions will expand Ethereum's applications into the real world. However, ETH is also known as the trendsetter for altcoins or the leader of altcoins. As we can see, Bitcoin has continuously broken new highs many times, but ETH has only barely crossed the key threshold of $4000. Once Bitcoin stabilizes, a large amount of capital will flow into ETH, pushing it to new heights. If ETH can stabilize between $4000 and $4100, it has a great chance of reaching $4500 to $4800 in this bull market.
2. MEME Series
Dogecoin (DOGE): Initially created as a joke cryptocurrency, it has now become a popular cryptocurrency. It currently represents MEME culture. The recent surge in Dogecoin is partly due to Elon Musk's involvement in politics, which has driven its market cap to new heights, with its individual value reaching the highest point since 2021. As Trump takes office and Musk continues to promote it, Musk has mentioned that Tesla will support Dogecoin transactions, which may further boost Dogecoin's price. Currently, if it can reach the previous high of around $0.48, the next target could be around $0.6. As the real altcoin season arrives next year, it has a great chance of breaking the previous historical high of $0.73, and even reaching $0.8 is very likely.
3. DeFi Sector
Following the Trump family's launch of the DeFi project, compliance in DeFi has been a hot topic. Established blue-chip DeFi projects like Uniswap, Aave, and Lido reacted immediately to Trump's election victory, rising and breaking through. Recently, both new and old projects in the DeFi track have performed very well in terms of price. Currently, DeFi's TVL is about $100 billion, with only 2% of the funds truly active in the DeFi space, which is still small compared to the overall cryptocurrency market. This indicates that under the warming regulatory climate, DeFi still has enormous growth potential.
Currently, there are two noteworthy recommendations in the DeFi sector: one is AAVE, the representative work of the current lending market, with a historical high price of $688. A new star worth paying attention to is MORPHO, a newly launched DeFi coin with a backing of $2.1 billion in storage. The lending sector has strong practical applications, and as Trump takes office later, the DeFi sector is bound to experience a significant upward trend. There is strong explosive potential among the upcoming altcoins, making them worth following!
We are currently in the mid-phase of the bull market, and the moment for altcoin explosions is about to arrive. If you missed the opportunities in the first half of this bull market, you need to put in more effort in the second half! We are currently focusing on promising doubling altcoins and well-performing second-tier mainstream coins. This is our recent achievement!
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