Crypto Expert Unveils 15 Surprising Truths About This Bull Run You Need To Know

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As a seasoned researcher with over a decade of experience in the crypto market, I find myself continually intrigued by the insights shared by fellow analysts like Alex Wacy (@wacy_time1). His recent thread on X offered a wealth of valuable information that resonates with my own observations and experiences.

In a thread on X, crypto researcher Alex Wacy (@wacy_time1) shared 15 eye-opening insights about the current bull cycle with his 183,000 followers. Wacy’s analysis covers a range of topics from Bitcoin dynamics to emerging technologies like AI and DePIN (Decentralized Physical Infrastructure Networks). Here’s a detailed look at his revelations.

#1 Bitcoin Season Is Memecoin Season

Wacy noted that when Bitcoin increases in value, there’s typically a large-scale purchase of meme coins by many people. This trend tends to boost their prices. Unlike during the last bull run, investments are flowing directly into the riskiest corners of the crypto market right now. The growth in Bitcoin’s price often causes a domino effect in the memecoin market, resulting in substantial price increases for these tokens. This phenomenon seems to overlook more fundamentally sound altcoins.

#2 Long-Term Bitcoin Holders Are Selling Aggressively

Wacy pointed out a significant decrease in Bitcoin ownership among long-term holders, with approximately 730,000 BTC being sold during the month. He added that US spot ETFs are taking on about 90% of this selling pressure, providing essential support to the market and helping it maintain stability.

#3 Solana Above $500 May Be A Reality

Wacy noted that even as the memecoin trend fades, developers of AI and DeFi projects are choosing Solana. Given the widespread interest in memecoins, AI, and DeFi, Solana remains a significant ecosystem, which could eventually drive SOL‘s price above $500.

#4 Blockchain-Based AI Agents Are Still Undervalued

According to Wacy, AI technology is already impacting the physical world significantly. Yet, he emphasizes that AI integrated with blockchain technology brings enhanced decentralization and privacy benefits. In his view, blockchain-centric AI projects hold immense, yet untapped potential and are currently underestimated in market value.

#5 Ethereum Is Set to Rise

The amount of active investment contracts (open interest) for Ethereum has surpassed its record peak, currently standing at more than $13 billion—representing a 40% increase over the past four months. This rapid expansion suggests heightened investor attention and may hint at a substantial price hike for Ethereum in the near future. According to Wacy’s predictions, Ethereum is poised for an upward trend.

#6 Most Ethereum Layer 2s Will Fail

Wacy expresses skepticism about the proliferation of Ethereum Layer 2 solutions. “The most promising L2s at the moment are Base and Mantle,” he commented. He warned that unless the Ethereum Foundation develops “a concept of L2 hubs,” 90% of L2 chains might not survive the next bear cycle.

#7 Trendy Technologies Will Succeed

Wacy suggested that AI, DePIN, and RWA are likely to shape the future of retail. Given this perspective, it’s worthwhile to monitor these trends closely. He believes that an investor’s primary funds should be allocated towards these three key stories during the current bull market surge.

#8 Non-Key Narratives Are Great For Speculation

Wacy emphasizes the prospective value in lesser-known fields such as Decentralized Science (DeSci), suggesting that despite its lower profile, it is an area that has been and will likely remain vibrant with investment potential, providing options for those who prefer a more conservative approach to risk.

#9 Quantum Crypto Is Gaining Attention

Wacy observed a massive increase – more than 10 times the original value – in Quantum stocks within a single month. He advises investors to keep a close eye on cryptocurrency ventures linked to quantum technology, as there’s potential for substantial expansion in this field over the coming months.

#10 Exercise Caution With Market Sentiment

Wacy advises to approach information shared here cautiously as it may sometimes reflect excessive pessimism during market declines and excessive optimism during rallies. He suggests carefully evaluating market sentiment signals, as they could be misguiding during extreme market situations.

#11 Timing Is Crucial For Offloading Altcoins

Wacy proposed that when people call you a fool for selling your alternative coins at a time when everyone else is criticizing it, this could be the perfect opportunity to make a profit. Employing contrarian strategies could potentially identify profitable exit points for altcoin investors.

#12 Valuing Insights From Crypto Analyst Cobie

Wacy mentioned that he believes Cobie, a recognized crypto analyst (@cobie), may have deeper insights into this market than us. Earlier during the bull run, Cobie recommended that investors allocate 70% of their funds to cat-themed memecoins, 20% to other animal memecoins, and just 10% to all other coins for the highest possible returns.

#13 Traditional Market Rules Still Apply

In a marked change from past cycles, Wacy noted that the expansion of altcoins still largely hinges upon Bitcoin’s dominance. Translated: The dynamics of the current market are different, but Bitcoin still wields significant power over the overall cryptocurrency market.

#14 Market Cycles Remain Unchanged

As a researcher, I’ve come to realize that markets tend to follow a recurring pattern – today it might be memes, tomorrow technology, and the next day regulations. However, these cycles have never been discontinued. It’s essential to remember this when navigating through market volatility.

#15 Strategic Investment Considerations

“Some people might benefit more from seeking dips in alpha plays, rather than attempting to catch another risky beta play. Reflect on it,” Wacy concluded. He encourages investors to focus on high-quality investments with strong fundamentals instead of chasing high-risk opportunities.

At press time, Bitcoin traded at $94,875.

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2024-11-28 23:46