【Deep Observation of the Crypto Market: Structural Opportunities After the Plunge】

In the recent severe fluctuations of the crypto asset market, long positions worth billions faced forced liquidation, but this has precisely provided a new observation window for value investors. We observe that the altcoin market has shown multiple key bottom signals: the perpetual contract funding rate has generally turned negative, and on-chain transaction volume has surpassed the peak of the bull market cycle; this fierce liquidity washout has been quite rare in the market over the past two years.

It is worth noting that the current altcoin/BTC exchange rate trend forms a historical mirror with the black swan phase of the pandemic in 2020.

Backtesting data shows that although the exchange rate experienced a technical false breakout at that time, it subsequently initiated a 15-month growth cycle for altcoins. The daily long lower shadows of ETH and other mainstream altcoins clearly indicate key points in the tug-of-war between bulls and bears. Historical experience suggests that after a single probe bottom, there is a demand for price pullback confirmation, which is precisely the technical window for investors to gradually build positions.

The market has entered the early stage of value recovery. Please maintain strategic determination and systematically grasp golden layout opportunities during the bull market cycle under the premise of strict position management.