Last week, the spot market for altcoins, including some coins planned for delisting by Korbit and Binance, experienced a significant surge. On April 12, a post was made to highlight new trends in altcoins, at which point it was already sensed that the market was changing.
A reminder: for those still shorting small altcoins, especially those with small market caps, be cautious. Currently, most low-quality small altcoins do not provide good value for shorting, so avoid shorting as much as possible; if you must, only do it for the short term. This includes those with low leverage; be bearish but do not short, unless it’s a large altcoin at a high price. Recently, some small coins have indeed presented short-term contract long opportunities, and small positions have yielded quite good returns. In the past couple of days, short-term hotspot opportunities have been in the metaverse sector, driven by VOXEL, MAGIC, and ENJ, making it suitable for short-term trading to earn fees.
For contract altcoins, choose those with large open interest and that are popular in both spot and contract markets. Altcoins with low popularity have shown strong short-term speculation, often directly competing with market maker orders, making stop-losses or long and short traps a norm.
It is advisable to monitor the extreme fee rates and changes in open interest of altcoins, as well as several core indicators of price fluctuations, as most opportunities arise from this. Last week, a characteristic of small altcoins experiencing significant surges was observed.
