During this cycle, there has been a significant change in the mindset of participants in the altcoin & Bitcoin market:

1. They are more sensitive, with stronger FOMO and FUD emotions.

2. Most market participants are in a short-term trading and speculative mindset, constantly seeking short-term profits and not valuing investment attributes.

But in 2021 and 2022, most investors adopted a HOLD and buy-the-dip mentality for investing, what does this indicate?

The negative impact of quantum computers was repaired within two days,

China's ban on cryptocurrencies was repaired within a day,

The short-selling sentiment targeting MSTR was repaired within three days,

In addition, the negative impacts of Mentougou compensation, rockets, etc., only lasted for about a week, while the positive news regarding FTX compensation, Trump's return to power, etc., have yet to materialize.

I can be sure that the decline caused by Powell's hawkish remarks will be repaired in a short time, and the short-term emotional fluctuations of investors will lead to a longer bull market and more exaggerated FOMO leading to rebounds and surges.

So why might this short-term trading mentality make this bull market last longer?

The reason is simple: grasping the market is much harder than following trends for regular investments and buying the dip. Many people try to buy at the bottom during a bear market, while many others want to predict the “peak” of cryptocurrencies. Thus, under the influence of retail investor psychology, they often miss out, sell too early, or chase prices and get stuck. Alternatively, they may choose to “buy the dip” during every market correction, even when prices are not low, which raises the market's lower limit due to retail investors selling too early and “buying the dip,” while the upper limit reaches higher numbers due to retail investors chasing prices.

Remember this truth: during an uptrend, if the speculative psychology of short-term trading continues to dominate, then the duration of the bull market will also be longer.

Conversely, once the short-term trading mentality disappears and short-term traders turn back into long-term believers, we may be about to see the true peak of the bull market. I hope that by that time, you can trust your judgment and take profits in a timely manner.