Why will the altcoin season inevitably come?
Core Logic: “Altcoin season” is an inevitable product of market sentiment. Altcoins exhibit extremely high volatility and sensitivity to emotions. When the market enters a bull market, especially when Bitcoin (BTC) reaches or breaks its previous high and consolidates at high levels, it triggers a strong fear of missing out (FOMO).
Investor Sentiment and Behavior:
“Too Expensive” Mentality: After BTC breaks its historical high, new retail investors generally feel that “it’s too expensive to buy BTC now” and “they have already missed the bottom of BTC,” so they turn their attention to lower-priced, smaller market cap altcoins, fantasizing about replicating BTC’s “hundred-fold legend” with them.
The Fantasy of “The Next BTC”: People are eager to find “the next Bitcoin,” hoping that some small-cap altcoin can soar. This greedy sentiment seeking high returns permeates the market.
“Stories” and Trend Drivers: In the later stages of a bull market, various hotspots emerge (such as DeFi, NFTs, and blockchain games in 2020-21; earlier ICOs and fork coins), and various new conceptual narratives (“narratives”) can easily trigger short-term speculation and rapid capital rotation.
Community Contagion Effect: The fervent sharing of trading calls and profit displays on social media (Twitter, Discord, Telegram groups, short videos) and group chats spreads optimistic sentiment and FOMO like a virus, attracting more capital inflow.
