In the current altcoin market, Ethereum-based altcoins are the absolute leading trend, while other sectors show relatively muted performance, which has caused many retail investors holding non-Ethereum-based altcoins to feel quite tormented. From the perspective of capital flow, the core market funds remain highly concentrated in $ETH. Even if some funds spill over to altcoins, they prefer Ethereum-based options first; moreover, there is a clear differentiation within the Ethereum sector, with LDO and SSV in the staking sector showing the most significant gains.

The previously suggested strategy is to prioritize LDO, based on its more ample liquidity, which can better accommodate the inflow and outflow demands of large capital, resulting in a higher operational margin for error. Of course, ETHFI and EIGEN are also quality projects, but it should be noted that both still have a large number of tokens awaiting unlocking, which may pose some selling pressure on the market later, requiring caution regarding risks. Additionally, as the leader in the Ethereum stablecoin sector, ENA has recently performed significantly better than CRV, further confirming the importance of "choosing the right sector + choosing the right targets" in altcoin investment.

I understand that many people have developed a sense of despair regarding the altcoin market due to the long-term stagnation of non-Ethereum-based altcoins. Based on the current capital logic, it is highly likely that funds will only gradually spill over from ETH and Ethereum-based altcoins to other sector altcoins once ETH breaks the $5000 mark or enters a stagnant phase. This time point is expected to be around September.

Currently, the most crucial thing is to maintain patience. If it is indeed difficult to endure the current pace, one can also choose to follow sector rotations and focus on short-term hot operations, but care should be taken to control the risks of chasing high prices. $BTC $ETH #ETH创历史新高 #BNB创新高 #美国初请失业金人数