Bitcoin breaks new highs, reaching $108,000. Capital in the U.S. has been continuously buying, increasing positions at high levels, and is optimistic about the future. The upward momentum seems to be less than I expected, and technical indicators are also at high levels. However, the platform from $110,000+ to $130,000 must be reached; the market consolidating between $3,000-$5,000 is reasonable, with a gap to be filled between $102,000 and $105,000.
This fluctuation of a few thousand dollars is not significant for Bitcoin, but it could be disastrous for altcoins.
(1) Bitcoin hits a new high, altcoins decline quietly
Bitcoin surged to 108,353, but altcoins like ETH, SOL, DOGE, etc., are not rising, and even falling back. Many smaller tokens have not recovered since the significant spike on December 9th, breaking away from the phase of small declines followed by new highs to adjust valuations.
(2) A large number of new projects are opening, with severe bloodsucking
Recently, large exchanges have continuously introduced many VC tokens, opening numerous new projects, with severe bloodsucking and a somewhat fierce trend. It's like pulling teeth from a tiger’s mouth; basically, it ends in one wave. Recently, project teams have various airdrops such as MOVE, ME, ACX, ORCA, THE, VELODROME, etc. If you buy in, you’ll get stuck. So I remind everyone that at this stage, these airdrop tokens or VC tokens listed should be sold as much as possible first because if you don’t sell, others will sell, and institutions are eager to cash out!
(3) Washing out the market
It's somewhat like the market in March 2024, with violent spikes and bullish trends, then continuing to surge against the bears, followed by entering a large consolidating oscillation phase. Perhaps the market and altcoins have reached a breakthrough phase; a big break is necessary for a big establishment, washing out floating chips and high-leverage longs, allowing the vehicle to lighten up and gather momentum to continue surging.
(4) A drop is like a father
Every time Bitcoin drags down the altcoins, it’s your opportunity to get in. Don’t be afraid of Bitcoin dropping directly; how could it drop right after it just went up? So a drop is like a father. If Bitcoin doesn’t drop, how will you get the chance to buy low?
Let me summarize which of the top 20 market cap tokens can be considered for acquisition.
Four Great Kings: ETH, DOGE, SOL, BNB
Four Old Brands: ADA, LTC, BCH, BSV
Four Leading Tokens: ATOM, DOT, FIL, UNI
Second Layer Defi; NEAR, OP, ARB, INJ, SSV
For specific prices, everyone can consider entering with 30% at the current price, then another 30% if it drops by 5 points, and 40% if it drops by another 10 points, entering in batches. I believe this position is relatively safe for acquisition.
With Trump rising to power, Bitcoin is recognized by the world. Next year will be a true crypto year; what will happen next year—compliance concepts + Trump’s new policies + legal victories + market sentiment + expansion of technology applications + major capital involvement. What we need to do is hold onto valuable tokens, boldly seek value tokens with every drop, and tightly grip them without being shaken out. Remember, every drop now is for better rises in the future; choosing the right targets is more important than anything! Recently summarized in one sentence: Hold onto value and wait for the blooming.