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Phases of Crypto Cycle You Must Know
Hey crypto trailblazer, đź‘‹
It looks like the Bitcoin surge is just beginning. The world’s largest cryptocurrency has set another all-time high, crossing $89K on November 11, 2024. Read on to explore the phases of crypto markets and see when altseason could be on the horizon.
The NEXT Trillion Dollar Company?
This company just signed a MASSIVE deal with Apple.
It gets their AI tech in Apple’s iPhones and iMacs until 2040!
But it goes beyond that.
The company is getting its tech into products by Nvidia, Google, and Samsung too.
Its AI tech is so crucial…
Nvidia is actually buying up the stock too.
They’ve invested more in this one company than any other… nearly $150 million.
Is this stock the next Nvidia… which has gone up 81,700% over the last 20 years?
🇺🇸 Understanding the Phases of a Crypto Market Cycle
Crypto markets tend to move in distinct phases, often driven by capital flow patterns across various types of assets. Here’s how a typical cycle unfolds:
Bitcoin Phase: The cycle often begins with a Bitcoin rally. Bitcoin, being the most established and liquid cryptocurrency, is usually the first to experience significant price movement after a period of consolidation or a new influx of interest in the crypto space. During this phase, capital flows primarily into Bitcoin as investors seek stability and strength in the leading asset.
Ethereum Phase: After Bitcoin reaches a peak or plateaus, capital often begins shifting to Ethereum. As the largest altcoin, Ethereum typically follows Bitcoin’s lead. This shift is fueled by both retail and institutional investors seeking additional growth opportunities and diversifying beyond Bitcoin. Ethereum’s movement is often a signal that the market is warming up for broader altcoin activity.
Large-Cap Altcoin Phase: Once Ethereum gains momentum, larger-cap altcoins start to move. These are well-established projects, often in the top 20 by market capitalization, which investors view as “safer” bets relative to smaller assets. Coins like Cardano, Solana, and Polkadot tend to perform well in this phase, drawing capital from investors looking to broaden their exposure.
Altseason (Smaller-Cap Altcoins): Finally, the peak of the cycle often culminates in what’s known as “altseason.” During altseason, smaller-cap altcoins experience rapid price increases as investors chase high-risk, high-reward opportunities. This phase is marked by speculative trading and a euphoric market sentiment, with many new investors entering the space. Altseason can lead to substantial gains in smaller projects but also tends to be short-lived and volatile.
Cycle Reset (Profit-Taking and Correction): After altseason, the market typically enters a correction phase. Investors begin taking profits, especially from high-risk assets, and capital flows back into Bitcoin as a safe haven. This correction can lead to a market cooldown or bear phase until the cycle resets.
Understanding these phases can help investors time their entries and exits more effectively, as each phase brings unique opportunities and risks.
Stay tuned to Epic Crypto News for updates as we move through each phase of this cycle—timing is everything in the crypto world.
Epic Crypto News Team
DISCLAIMER: This newsletter is for educational purposes only. Nothing here is financial advice. Do your own research before making any investment decisions. Crypto markets are volatile and risky. Only invest what you can afford to lose.
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