If you're going to watch ONE video during this Memecoin Supercycle... Watch this.
2025 will be the Year where Memecoins go Parabolic.
Watch this Video to Understand Why.
Just did a deep dive through my TradingView watchlist.
Honestly, I was kind of (naively) shocked by the current state of the altcoin market.
When I was on holiday in Europe, I was primarily checking my favourites list (as I wasn't actively trading much), which mainly includes coins I'm actively trading. Naturally, these tend to favour relative strength.
Mostly memes, RWA, some select narrative plays etc.
And if you've just been scanning CMC, things look ok (BTC above $60k - $ETH above $3k). All good, right?
Well, not really.
Many alts are already revisiting their July lows (from the day $BTC wicked to 54k), despite BTC currently sitting around 64k.
Others barely bounced during the subsequent recovery, and gave up the entirety of these gains as soon as BTC exhibited the first sign of weakness.
I boil this down to three factors:
1. Altcoin dispersion remains a massive issue (as I've discussed in the past at length), and it's extremely hard to keep an actively diluting market afloat in the midst of weak inflows.
2. Many of the inflows that we ARE getting are flowing into the spot ETFs. Such is now the case for both BTC and ETH. Obviously, this has a price benefit, but it isn't the same liquidity benefit that we had in previous cycles (one of the reasons why rotations this cycle are completely different).
3. Existing liquidity is gravitating more towards memecoins than ever. Recent data suggested that relative meme coin mindshare is now at its ATH. Clearly, this is bullish for those that play in and are familiar with those circles. Bearish for those with an aversion to memes that are primarily parked in utility. With thousands of new memes launching each day, this is certainly contributing to point 1 (altcoin dispersion).
You may be asking - what's the fix?
Well, for the market: A break of $BTC all-time highs should temporarily paper over the cracks, as this will likely lead to renewed retail interest.
But if you really want to set yourself up for success this cycle, I would be super picky with asset selection.
• Only hold quality assets. By quality, I mean coins with strong teams, communities, and importantly, a strong narrative.
• Focus on coins with low dilution (or at least no significant unlocks in the coming months).
• Treat every rotation as an opportunity to profit, and most importantly, take profits. This is likely going to be a cycle of sporadic sector outperformance, rather than the pump-all-at-once meta of cycles past. For that reason, when there is a strong rotation, use it to your advantage to acquire some short-term profits and top up your stablecoin weighting.
I must say, this cycle isn't easy (at least relative to 2017 and 2021). There is certainly opportunity - but due to the experienced nature of many participants and the lack of fresh ones, it has become more PvP and requires a higher degree of skill.
Keep learning, honing your craft, adapting, and most importantly - don't give up. The reward will be massive for those who persist.
@CbCryptoschool This is my second cycle and I wish I knew what I know now back then! The education that Crypto Banta and Crypto School has given me is absolutely invaluable!!
I hope you've found this thread helpful.
Follow me @rektfencer for threads like this in the future.
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The crypto market is enduring a rough patch, but don't let the dip get you down. This is the nature of volatile markets - they ebb and flow. The true investors see these periods not as a crisis, but as an opportunity to accumulate more at discounted prices.