Why don't altcoins rise?

The core narrative of this bull market is driven by traditional finance and traditional application scenarios, with prices driven up by MEME and ETFs.

1. The old and often-repeated reason: Institutional funds are skewed towards Bitcoin rather than the currently popular crypto narratives, nor are they focused on the Ethereum ecosystem.

2. The PCE index remains above the 2% target level, leading the market to expect that the Federal Reserve will maintain higher interest rates, which suppresses the risk appetite for high-volatility assets.

3. Due to Bitcoin's significant gains during the first half of the interest rate cut cycle, Ethereum and other altcoins have not been able to enjoy the same level of institutional buying pressure, combined with a low willingness to rotate capital from Bitcoin to altcoins, disrupting the traditional rhythm of altcoin season.

4. After 2022, the average returns of altcoins have long been lower than Bitcoin, with new projects clustering in release, overall liquidity being diluted, and even high-quality projects struggling to stand out, causing people and liquidity to flow only towards the top narratives and MEMEs.