First, I want to ask, have you experienced the altcoin season?
Veteran market participants must have experienced this. The crypto market basically runs on a four-year cycle, and during the altcoin season, making money is as easy as drinking water, and losing money is as simple as urinating. After experiencing this wave of altcoin season, you will have a deeper understanding of the crypto market. Everyone can discuss how to make money during the altcoin season; this is not my area of expertise (because I haven't made money in either bull or bear markets 😂).
Without further ado, let me explain the underlying logic of the altcoin season in the crypto market using the short board effect (allow me to be a bit shameless, I call this explanation the short board rotation theory, which sounds quite like a tongue twister 😘).
PS: I drew a pile of dog poop, everyone just bear with it
↑ The pool above is our liquidity pool of real finance and traditional finance industry. When the central bank releases water, the water in this pool will increase and overflow.
↑ What to do when the pool is full? We can't let the water flow out for nothing, right? At this time, a loud voice from a certain crypto forum ----- Satoshi Nakamoto released the $BTC white paper, thus starting the era of cryptocurrency.
But this barrel also has a problem; it grows the same as the one below.
In this picture, theABCDEFGHIJ... and so on 'boards' represent various influencing factors of BTC. Only the short board is the most important factor that ultimately affects BTC price, but this BTC barrel will also be full, so...
Vitalik brought a big barrel called $ETH, which has the same problem as BTC, but it has taken on the waste of water from BTC. So what happens when this ETH barrel is full? Everyone has come up with a solution for it.
Hey ↑😃👆🏻, my quality and value can't compare to Bitcoin and Ethereum, but my quantity can! Thus, a variety of altcoins appeared before the eyes of the market participants, and it captures water very quickly relative to its volume (that is, the speed of increase), but it relies on $ETH and $BTC which can't hold any more water to survive. To live, the smart ones in the altcoin space have come up with a good method.
Hey 😃👆🏻, I can just pull one board and connect it at the short board of Ethereum and Bitcoin, just right to catch more water. As for other boards, I can just paste them with paper; it’s not unusable.
When Ethereum and Bitcoin can't rise, funds will flow into small-cap coins, causing small-cap coins to rise; when Ethereum and Bitcoin have a chance to rise, those funds will flood back into Ethereum and Bitcoin. This is why people are easily cut down, and it's also the logic I understand behind the altcoin season.
So when does the altcoin season come?
I think it will be after Trump's favorable policies take effect next year when Ethereum and Bitcoin can't rise anymore, but everyone believes that the crypto market is a gold mine of the web3 era. Ethereum and Bitcoin can't withstand so much capital, and this capital will flow into altcoins, thus starting the altcoin season. This timing is likely around March to May next year, under the influence of the cryptocurrency new policy by the understanding king and various media hype.
Thus, the golden age of the crypto world has arrived #山寨季何时到来？ #内容挖矿 #现任美SEC主席将于1月离职 .
