When BTC increases in price, almost 90% of altcoins increase in price following BTC, so when BTC pushes up in price, do all other altcoins enter a price push cycle following BTC? The answer is yes, but only increases in price following BTC, but entering a price push cycle of altcoins requires an important signal that we will analyze together in today's article.
As we know, the price of a coin increases when all 3 factors of the law converge: First, the law of supply and demand when demand overwhelms supply causes the price to increase and when supply equals demand, the price goes sideways with no clear trend.
Second, the law of cause and effect when a coin accumulates all phases will create a cause to push the price and the bigger the cause, the stronger the result of pushing the price.
Third, the law of successful efforts in the process of pushing up prices is that the price increase must be accompanied by a continuous increase in demand.
However, when an altcoin converges all 3 factors that can enter the price push phase and at the same time encounter favorable market conditions, BTC enters the uptrend phase (phase E) like the period of October - 2023, BTC suddenly increases in price from the 33k - 45k range, then when will those altcoins increase in price? Let's look back at the period of October 2023:
For example, meme coins like DOGE and SHIB also surpassed the peak and entered a price push phase, but the price only increased by 50% from the accumulation zone and then re-accumulated with BTC from December 2023 before continuing the price push phase. And in that period, almost 80% of large-cap altcoins followed the cycle of DOGE and SHIB, but only 2 large-cap coins emerged with a sudden price increase (increased 3 - 3.5 times), namely SOL INJ.
However, it was also the period when BTC entered the bullish phase (phase E) in February 2024 from 46k to 69k, large-cap altcoins such as DOGE and SHIB also began to re-accumulate and converged all 3 factors to enter the price push phase, the price increased dramatically such as DOGE SHIBA increased 1.5 - 3 times, followed by coins in the meme ecosystem that converged all 3 factors to increase the price such as FLOKI increased 7 times from the accumulation zone, PEPE increased 12 times, and then ORDI followed the meme trend and increased 9 times from the bottom. But the coins that emerged in the previous phase such as INJ entered the distribution phase, SOL only increased 80% and then entered the marginal phase.
So in a BTC uptrend phase, what do we need to do to find a super profitable altcoin like INJ, SOL in 2023, PEPE, FLOKI, DOGE, SHIB in 2024.
The answer is the super cash flow factor that is activated almost simultaneously at the cash flow mobilization phase (phase D) and the price correction phase (phase E) of coins (meeting all 3 rules to make a coin increase in price) in the same ecosystem. Like FLOKI activates super cash flow at phase D, PEPE activates super cash flow at phase D, DOGE activates super cash flow at phase D at almost the same time on February 26, 2024, February 27, 2024. From there, it creates a meme wave with the most terrible profit in 2024.
In the 2023 period, the coins in the Layer 1/2 ecosystem of SOL, the factors that trigger cash flow in the price push phase of the coins in the price push phase almost do not appear but have a large differentiation such as TRX (20% price increase then re-accumulate), BNB (re-accumulate), XRP (Re-accumulate). And the Defi coins of INJ also do not appear the factors that trigger super cash flow but have a large differentiation such as AAVE (re-accumulate), UNI (re-accumulate), MKR (re-accumulate),....
So when BTC enters the uptrend phase (phase E), we begin to evaluate if there is differentiation in an ecosystem (this altcoin pushes the price of another altcoin, then it re-accumulates), then when we buy, the probability that we hit the super altcoin is too low (must continuously evaluate according to the 3 rules above to choose the super altcoin). As for an ecosystem that has a super cash flow factor activated almost at the same time in the cash flow mobilization phase (phase D), the price push phase (phase E) of all coins in the system, then we can confidently hold x3 - x10 depending on our luck!
And in this year or next year, BTC will definitely enter the price increase phase. Our current job is to review knowledge and prepare all money so that if signs appear like the article above, we can go all-in full margin to change our destiny together.
If there is no super cash flow factor, we should only spot and continuously evaluate altcoins that fully converge the above 3 factors and try our luck like the uptrend phase of btc in 2023!
