Lessons and Experiences from This Round of Crypto Assets Cycle

In the latest round of cycles in the Crypto Assets market, investors have experienced challenges and opportunities that are different from the past. This article summarizes the experiences shared by several seasoned investors, discussing the current market conditions, changes in investment strategies, and thoughts on cross-circle investments.

Current Market Stage Assessment

Experts believe that it is difficult to summarize the current market stage with a single cycle concept. Bitcoin, mainstream altcoins, and small-cap tokens are showing different trends:

• Bitcoin is in the middle of a bull market and still has room to rise.
• Mainstream altcoins have entered a deep bear market and may need more than six months to adjust.
• The performance of small-cap tokens varies, mainly depending on the operation of the project team.

Overall, the market shows a clear differentiation, making it difficult to describe it with a unified cycle phase. Investors need to adopt different strategies for different types of assets.

Reasons for Increased Investment Difficulty

Compared to the last bull market, most investors believe that the difficulty of investing in this round has clearly increased. The main reasons include:

1. Changes in the macro environment, insufficient liquidity in a high interest rate environment
2. Endogenous innovation has decreased, lacking hotspots to attract external funding.
3. Oversupply of projects, scarcity of quality projects
4. Investors' expectations have changed, no longer blindly chasing conceptual speculation.

These factors have led to the overall market performance falling short of expectations, and investors need to adjust their strategies to adapt to the new market environment.

Successful Investment Strategies

Despite the overall difficulty in the market, some investors have still achieved good returns through the right strategies. Successful investment strategies include:

1. Increase Bitcoin allocation to seize the major trend.
2. Timely take profits on altcoins, control risk exposure
3. Focus on hot narratives, such as AI-related concepts
4. Adhere to fundamental analysis and avoid chasing highs

The common point of these strategies is to pay more attention to risk control, not blindly pursuing high returns, but seeking stable returns.

Lessons in Investment

During this cycle, many investors also made some mistakes, mainly including:

1. Overemphasis on high returns while ignoring risks
2. Too optimistic about market expectations, building positions at high levels
3. Failure to stop losses in a timely manner led to a significant drawdown.
4. Ignoring fundamental analysis and blindly following trends

These lessons remind investors to remain rational and not to be blinded by short-term gains.

Judging the Market Trends of Altcoins

Regarding the highly watched altcoin market, experts believe:

• A comprehensive altcoin bull market is hard to replicate.
• There may be localized, short-term coin market trends.
• The altcoin market will become more similar to the A-shares, presenting structural opportunities.
• Major positive stimuli are needed to potentially bring about a large-scale altcoin market.

Investors need to lower their expectations for altcoins and be more cautious in selecting targets.

Thoughts on Cross-Chain Investment

Faced with the decreasing opportunities in the crypto market, many investors are starting to pay attention to other investment areas, such as the US stock market. In this regard, experts believe:

• U.S. stocks may become an important option for Crypto Assets investors
• Experience in Crypto Assets may be a disadvantage in the early stages of investing in the US stock market.
• In the long term, understanding Crypto Assets helps to grasp the trend of coin-stock integration.
• Cross-circle investment requires learning new rules and gameplay.
• It is also a wise choice to invest in areas you are familiar with.

Regardless of whether to choose cross-circle investment, investors need to continuously learn and expand their ability circle.

Conclusion

This round of Crypto Assets cycle has brought many challenges to investors, but also contains valuable lessons. In the face of the constantly changing market environment, maintaining rational thinking, risk awareness, and a continuous learning attitude will be the key for investors to achieve success in future markets.