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The ecosystem of the Crypto Assets market is undergoing a major transformation. In the past, the rise and fall of Bitcoin often dominated the market trends, but this pattern has now changed. Now, the performance of Ethereum (commonly known as ETH) has become the market's barometer, while alts find themselves in an awkward position.
When Ethereum rises, alts often maintain a sideways state; when Ethereum is sideways, alts show a downward trend; worse still, when Ethereum crashes, the altcoin market suffers even more, showing a waterfall-like decline. This new market logic is vastly different from the past, where both Bitcoin and Ethereum would rise and alts would follow, but now they only fall and do not rise.
This market manipulation has brought profound lessons to investors. It is foreseeable that in the upcoming four-year cycle, the altcoin market may face even more severe challenges, and investor interest may further decline. For those who still hold alts, it seems that a wait-and-see approach is the only option, patiently awaiting a market turnaround. Perhaps when Ethereum breaks the $5000 barrier, the entire Crypto Assets market will usher in a comprehensive recovery.
This shift in market dynamics not only reflects changes in investor sentiment but also mirrors the evolution of the entire Crypto Assets ecosystem. As market participants, we need to closely monitor these changes and adjust our investment strategies in a timely manner to cope with this rapidly changing market environment.