The market is fluctuating repeatedly; how should we operate next?

Let's talk about Bitcoin's trend. Some time ago, I mentioned that Bitcoin formed a 'Doji' pattern at a high position, which is a common adjustment signal in technical analysis, usually indicating that the market may experience a period of fluctuation or correction. Looking back now, the trend has indeed begun to show some weakness, especially with this week's candlestick patterns looking unfavorable, indicating that the possibility of adjustment is increasing.

From a technical perspective, Bitcoin's current performance is quite 'textbook'. Its retracement lows mostly rest near a key trendline. Based on this trend, Bitcoin may continue to fall for a while, and it is not ruled out that it may temporarily drop below the $100,000 mark. Once this price level is breached, there could be a lot of panic selling in the market.

At the same time, Ethereum's trend is also worth paying attention to. If Bitcoin adjusts by 6% to 7%, then Ethereum may fall even more, with a potential retracement exceeding 10%, and even temporarily falling below the $2000 support level. During such times, major funds often take the opportunity to 'wash the market' and collect panic chips.

Overall, such market adjustments are not a bad thing; rather, they are a necessary stage on the road to healthy growth. As long as Bitcoin can hold the $100,000 mark, those altcoins will still have good performance potential. It is advisable for everyone to maintain a stable mindset, not to chase highs, as timing is more important than anything. Opportunities will definitely arise; it just requires a bit more patience.

We have also mentioned before that after such a large increase from the bottom, it is impossible not to give the market a correction space of 10% to 15%. This is the process of chip exchange and redistribution, and it is not suitable for blindly increasing positions. If you are currently in cash, you can consider entering the market in batches after the correction is in place; if you already have positions, then don't rush to add, wait for the market to stabilize before making a decision.

Many people are concerned: when will altcoins finally experience a real market trend?

From my observation, every round of explosive growth in altcoins is basically inseparable from Bitcoin's 'leading charge'. Simply put, once Bitcoin breaks through the previous high, it’s like giving the market a shot of adrenaline, and both funds and sentiment will quickly heat up, giving altcoins the chance to take off. For instance, from October 2023 to March 2024, and from November to December 2024, both rounds saw Bitcoin surge first, followed by altcoins gradually starting up. Looking at this round, Bitcoin's key point is at $110,000. If it can truly break through this position, then the market trend is likely to officially begin. Whether altcoins can perform well also depends on Bitcoin's strength.

Currently, the trends of many altcoins seem to be in a brewing stage, and the specific patterns are quite consistent—most are forming 'descending wedges', which means that prices are narrowing down, looking like they are on the verge of exploding. Currently, these coins have basically reached the upper edge of the wedge, and whether they break through next depends on Bitcoin's attitude. If Bitcoin successfully breaks through $110,000, it would be a signal to ignite market sentiment, and a bullish pattern would be officially established. At that time, many altcoins would start to surge rapidly. However, if Bitcoin hesitates at this position and chooses to move sideways for a while, the lower edge of the wedge may instead become a good buying opportunity.

Of course, most altcoins' 'wedge patterns' have not yet reached the final stage and are still mostly in the middle, so fluctuations may continue. If you are still waiting for an entry opportunity, it might be wise to closely monitor Bitcoin's movements: if it breaks through, it could lead to a wave of collective trends; if it continues to adjust, we should patiently wait at the lower edge. In short, it all depends on whether Bitcoin can break through $110,000.

The market is starting, and the 3 major mainstream coins are most likely to explode 20-50 times first!

DOGE

Dogecoin's current high point is unpredictable. Dogecoin has fallen from the previous high of 0.48 to 0.13, a drop of 73%, close to the maximum drop in a bear market. The washout is very thorough. From last December's high to early May, it has been continuously falling for half a year, with a sufficient exchange of chips. This time, Dogecoin's trend is different from past bull markets, gathering extremely strong energy, and this round's high point is unpredictable!

people

Total supply of 5.06 billion, current circulating market value of 128 million, with a circulation rate of 100%. As a popular project in the meme coin sector, it still attracts relatively high attention. There is still a lot of room for growth in a bull market, and recently the meme sector's popularity has remained high. Recently, people have almost doubled in price, and I think the possibility of a second explosion for people is significant, but don't expect it to rise tenfold like the first time. Overall, a 3-5 times increase is more reasonable.

AAVE

This coin's trend is quite stable; it has already doubled from the bottom and is still rising with zero-cost pure profit. Last year, our AAVE and COMP had already doubled the principal; this time it should head towards 300. This coin belongs to the DeFi concept and the lending finance sector. When the market conditions are right for a bull market, both major and retail investors will leverage based on on-chain conditions, so lending finance is also the engine of the bull market. AAVE can also be categorized under the RWA track, which is not very clear yet, but it is a time full of opportunities.