The true signal of the arrival of the altcoin season, do you really understand?
In the cryptocurrency space, many people fall into a misconception that the crazy rise of ETH is a sign of the altcoin season, but that is not the case. The only true signal that opens the altcoin season is the sustained significant rise of Bitcoin, which is the crucial and irreplaceable key!
Looking back at the bull market of 2021, many mistakenly believed that it was ETH leading the rally after Bitcoin consolidated, followed by the activation of altcoin markets. But the truth is that before this, Bitcoin experienced a crazy surge for 15 consecutive days, with daily bullish candles continuously appearing, market enthusiasm peaked, and legends of sudden wealth flooded in, even making headlines in major media.
During Bitcoin's surge, institutional investors took advantage of the momentum, amplifying the wealth effect to the extreme, attracting a large amount of “dumb money” from outside the circle. However, when Bitcoin's price was high, institutions quietly offloaded, leading retail investors to buy at high prices. As outside funds could not sustain the massive selling pressure, Bitcoin's price quickly fell back, panic spread, and external investors suffered heavy losses, eager to break even.
At this time, institutional funds turned to the altcoin market, while retail investors flocked to altcoins after cutting losses in Bitcoin, hoping to quickly recover through “small-cap coins.” Due to the smaller market capitalization of altcoins, it is easier to pump the price after funds enter, which led to those altcoin myths that have market capitalizations in the billions but can multiply by hundreds.
Therefore, the start of the altcoin season is not the result of ETH leading the rise, but rather the effect of funds following Bitcoin's continuous explosive rally.
New hope for Meme coins: ρꪊρρⅈꫀડ
When it comes to altcoins, one cannot ignore the recently surging popularity of ρꪊρρⅈꫀડ. This Shiba Inu coin has a very active community, its market capitalization is still at a low level, but its popularity continues to rise, and it has the backing of concepts related to Musk. Market experts predict that ρꪊρρⅈꫀડ may be the next Meme coin to explode, with the potential for 10 to 20 times growth in the future. If you are waiting for the arrival of the altcoin season, this may be one of the potential coins worth laying out in advance!
