Analyst: Shanzhai coins will not rise simultaneously as before, but there will be larger yet more limited rotations
ChainCatcher news, according to cryptocurrency analyst Miles Deutscher's analysis on social media, the altcoin season will not be like 2021 because:
1. The relaxed conditions of 2021 were extremely abnormal;
2. There has been a surge in the number of new startup projects and dilution of altcoins.
This does not mean that it will not prosper as before (or even more prosperous), just in a different way:
1. It is no longer all altcoins rising at the same time, but there will be larger but more limited rotations (such as AI and Meme coins);
2. Liquidity will gradually flow in, rather than sharply rise during the stimulus plan period in 2021;
3. Strong ETF flows have reduced the impact of Bitcoin (BTC) rises on liquidity flows (now it's more psychological than actual)
4. The market will turn more towards traders' markets because the strategy of "holding many coins waiting for them to rise" won't be as effective as before.
There are still huge opportunities in this field, but trading/investment styles need to be adjusted according to current market conditions.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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