Doubled from the bottom! Do you dare to chase the rise of such altcoins?

Everyone can see that the two best performing L1 public chains in recent times are SUI and FTM. Both of them have performed very strongly, especially SUI, which has risen by more than 100% from the bottom. I believe that many friends who have bought this round of altcoins will put SUI, APT, and SEI together and call them the three heroes of the new public chain, but it is obvious that only SUI can still maintain a high trading level so far, and the other two are already miserable.

The problem of SUI is obvious. We have said more than once that there is an immature and dangerous token economic model. The total amount is 10 billion, and more than 7 billion SUIs have been pledged, and more than 80% of the pledged supply is held by the founding team. From this point of view alone, it is undoubtedly a death sentence for him. Overly centralized token distribution and large-scale lock-up are taboos in this bull market. Such a high bubble makes it difficult for retail investors to follow the unlocking and keep their positions unchanged.

However, from the perspective of making money, we need to know one thing. The reason for choosing altcoins is that they will perform far better than Bitcoin in a certain period of time. Only in this way can it make sense to choose altcoins. Therefore, after comparing the same public chain projects, I want to express a point of view that SUI has the possibility of short-term trading.

The reasons are as follows: The first is that SUI's bull market performance is very good. After being launched during the last round of bear market, it performed much better than BTC in the 4 months from the third quarter of 2023 to the first quarter of 2024, with an increase of more than 5 times. Such a target will make us more confident to see the performance in the second half of the bull market. But at the same time, SUI's retracement has also reached a very low price, and the liquidity is very strong. The second point is that after hitting the bottom on August 4, SUI's daily trading volume has doubled in more than a month, and has been stable at this level, so this completely provides an opportunity with a profit and loss ratio, that is, while the dealer continues to pull up, SUI will be seen by more retail investors and institutions, and they are willing and happy to do this.

Therefore, for many right-side players and those who like to chase rising prices, SUI actually has some short-term trading opportunities, but in the long run the cost-effectiveness may not be that high.$SUI $FTM