Altcoins: A rebound cannot hide risks, blindly FOMO may backfire
Recently, although the altcoin market has seen a rebound, several cryptocurrencies have enticing short-term gains, triggering FOMO emotions among some investors. However, it is crucial to recognize that the current market environment is extremely unstable, and risk assets (especially high-volatility altcoins) are facing immense pressure. The market often exhibits a brutal trend of 'three days up, one day down,' with a single day of plummeting capable of erasing several days of gains.
The core issues in the current altcoin market:
1️⃣ Extremely poor sustainability: Most rebounds are short-lived, and profit opportunities vanish in an instant.
2️⃣ Liquidity crisis: Funds are concentrated in BTC, and altcoin trading is sluggish.
3️⃣ Intensified policy risks: The US SEC's delay in the spot ETF decision brings ongoing pressure.
4️⃣ Impact of geopolitical conflicts: Global risk assets are all affected.
Operational advice:
Maintain absolute patience and resist FOMO temptation.
Wait for signals of market sentiment stabilization (BTC holding key levels + ETH stopping the decline).
Pay attention to on-chain fund flows to confirm signs of new capital entering the market.
Strictly control position sizes to avoid 'catching the bottom' of high-risk assets.