Alt season will eventually come! Why does the Prince always say alt season?

1. From the K-line and technical indicators

Looking at this Bitcoin dominance 3-day K-line, 1. it has broken the upward channel that started in June 2023 and has encountered resistance when retracing to the median; 2. the MACD indicator has forcefully broken below the 0 axis and is currently undergoing a severe drop recovery.

Below Figure 1:

This tells me from the indicators and K-line trends that Bitcoin needs to transition from prosperity to decline, so since it has come down, who will go up?

Looking at the chart below, support and resistance are clear at a glance. Any rise or fall will not be a straight line; there will be bumps and fluctuations in between, but that does not affect the direction it needs to take.

Below Figure 2:

2. From a historical perspective

Looking back at the last bull market from 2020 to 2021, Bitcoin rose from the end of September 2020 to December 2020, during which all DEFI coins were in retracement, and all altcoins were basically stagnant, with Bitcoin standing out, rising from 10,000 to almost double. The leading DEFI coin UNI dropped from a low of 8U to over 1U;

In February 2021, Bitcoin had approached its peak of 60,000, while Ethereum was still hovering below 2,000. You can see the subsequent trends by reviewing the K-lines; Ethereum doubled from 2,200 to over 4,000 in just two weeks.

We must recognize one thing: Bitcoin determines the overall trend of the cryptocurrency market, but! The rhythm and lifecycle of altcoins are different from Bitcoin's.

3. From an emotional perspective

Market trends often emerge in despair, rise in hesitation, and are destroyed in madness; this is human nature.

The meticulous trading strategies of Wall Street have made this round of the bull market much calmer compared to past ones; they can make the market harder to play with their strong capital and top-notch control, making us feel that this time is different from every previous time; however, they cannot change human nature because as long as people are involved in trading, they cannot escape human nature. Looking at the market in agony, do you think the current market is crazy?

Holding coins is like guarding a widow; the trading market, whether rising, falling, or sideways, constantly stimulates our nerves. What we can do is choose a strategy that suits us and stick to it.

At this point in time: holding firm is correct, waiting for a violent alt season; exiting is also fine, as Bitcoin has already made 5-6 times the profit.