Bitcoin has once again broken through the £70,000 mark, just a step away from its historical peak, but altcoins are still struggling either halfway up or at the bottom of the hill. What’s going on here?
Bitcoin's strong performance is indeed eye-catching, but the fate of other altcoins is quite different.
Ethereum still has a 46% gap to its historical high, while Solana and BNB have 30% and 16% declines respectively to make up.
Popular assets from the last bull market, such as Dogecoin, Shib, Cardano, ICP, Filecoin, and Polkadot, are even more tragic, with declines as high as 70% or even 90%. This makes one sigh, as it can truly be said that this is a bull market for Bitcoin, while other altcoins are far from keeping up with the pace.
The reason behind this is that insufficient market liquidity is a key factor. In the face of insufficient liquidity, it is difficult for funds to spread comprehensively, making a general rise in the market naturally hard to achieve.
Therefore, although Bitcoin's uptrend is pleasing, other altcoins will likely need some time to catch up.
Moreover, based on historical experience, altcoins that can outperform Bitcoin in terms of gains are extremely rare.
Of course, this does not mean that altcoins lack investment value. Under Bitcoin's leadership, the entire cryptocurrency market is still full of opportunities and challenges.
As long as one can choose the right assets and seize the moment, altcoins can also yield substantial returns.
In summary, while Bitcoin's bull market momentum is strong now, other altcoins still need to patiently wait.
However, this does not mean they lack investment value; with careful exploration, one can always find opportunities that suit them.
