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Absolutely! Here's a much more comprehensive post covering all the points in the video with a completely original introduction and no timestamps.
The cryptocurrency universe is at a monumental crossroads. As Bitcoin flirts with historic highs and Altcoin hype reaches euphoric levels, a critical question echoes throughout the community: Are we on the cusp of an epic final rally, or is greed blinding us to the imminent end of the cycle? Let's set aside trendy narratives and personal desires. This analysis delves into the raw data to assess the true extent of the bull market through 2026, examine the type of investor who actually makes money, and, most importantly, reveal practical strategies to protect and grow your capital in this high-risk phase.
The crypto market is experiencing a profound contradiction:
The Halving Cycle: Historical metrics for Bitcoin and halving clearly point to a final phase of the bull market, which traditionally precedes a bear market.
The Liquidity Cycle: The new narrative, driven by global liquidity (M2), suggests that the trend could stretch on for a few more months. Based on liquidity cycles of 1350 to 1450 days, the expansion could continue until the first or second quarter of 2026.
The Critique: Analysis shows that the correlation between the Federal Reserve's balance sheet and the price of Bitcoin is inconsistent. The liquidity narrative is a new dogma that investors have adopted to validate their desire for the rally to continue.
Key Takeaway: We have had pro-crypto presidents, approved ETFs, massive institutional inflows, and explosive meme coin seasons. The possibility of an additional "x7" in Bitcoin (taking it to over $500,000) solely on the promise of liquidity is a dangerous fantasy.
⚠️ The Current Risk: Is it worth risking a potential 50-70% drop in your portfolio in exchange for a possible maximum increase of 1.5x or 2x? This is a phase of greed disguised as hope and poor risk management.
Only one type of investor makes money in the long run. You have to be brutally honest with yourself:
Investor Type | Behavior | Result |
Stubborn | Always bullish or bearish. Unable to adapt to market realities. Trapped in their bias. | He constantly loses money. |
Emotional | The most common. Buy late and sell late. Becomes more bullish as the price rises. Becomes more bearish as the price falls. | He always chases the price and loses. |
The Reader/Patient | He has a long-term plan, manages judiciously, adapts to the context, and does not allow himself to be influenced by noise. | He is the only one who consistently wins, cycle after cycle, increasing his wealth. |
The Golden Rule: If your positions are concentrated in altcoins without fundamentals, don't resign yourself to losing. Every dollar counts. It's better to withdraw that residual capital of $300 (instead of $1,000) and allocate it to investments with more potential.
Solid Currencies for Preserving Capital:
The priority now is resilience. It is recommended to hold positions in cryptocurrencies that can withstand a bearish cycle and recover: Bitcoin, Ethereum, Ripple, BNB, Solana, Tron, High, and Link. The rest are very unlikely to exceed their all-time highs in the next cycle.
Investment is not built in three months. Investors who bought into the fear of 2022 and sold too soon are not begging for one last rally, but are calm and sticking to their plan.
DO NOT Buy the Dip: Buying dips in a mature uptrend is playing with fire. The risk-reward ratio is no longer reasonable. You should not seek to be the bravest, but the most patient.
Withdraw from DeFi as a Precaution: Recent hacks (Balancer, Stream Finance) and the depegging of stablecoins have led to millions in losses. As a precaution, it is recommended to withdraw positions from protocols that do not allocate their main resources to the security of their liquidity pools, and to secure profits in reliable stablecoins (USDC, USDT, DAI).
A Bear Market is an Opportunity: Losing in the first cycle is the best learning experience. A bear market is not the end of the world; it is confirmation that the market remains predictable, providing a huge advantage and discounted prices to accumulate ahead of the next cycle.
Given the lack of buying opportunities, the strategy focuses on neutrality or betting on a correction:
Shorting Altcoins: This is one of the most profitable strategies. It consists of betting against projects with no fundamentals, no liquidity, and a value based on "pure smoke," whose trend is undoubtedly to go to zero.
Airdrop Farming and Funding Rates: It is recommended to combine shorting with airdrop farming on perpetual exchanges, increasing volume. Alternatively, farm positive funding rates on coins with high APR and volume, maintaining a neutral position (long and short at the same time) to generate income from funding rates.
If you want to beat the market, you need to digest and process the information I have just written here. This does not mean that I am a trading or ecosystem "GURU." On the contrary, I know there are many people out there who are smarter than me, but I am writing all this based on my experience in what I have already lived through in three market cycles since the birth of Bitcoin and cryptocurrencies.
Of course, it is your choice whether or not to take this into consideration, but I hope and wish you all the best.
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Lenonmc21
2 comments
The market is in full retreat. We don't know what's going to happen; nobody does. We can only speculate on what might happen through fundamental and/or technical analysis. Although I tend to analyze the market fundamentally, I am guided more by market sentiment. In any case, if you want to know what I'm doing, the types of investors that exist, and basically what I expect, you should read this post. https://paragraph.com/@lenonmc21/navigating-the-cryptocurrency-crossroads-are-we-ready-for-the-final-rally-or-trapped-in-greed
Would you like to know what is happening in the current market, what my opinion is, and why I believe we are in a rather complicated moment in the cycle? Where we must be very careful with the investments we make, be cautious, and wait to see what happens, unless you are a degenerate with a lot of money and don't care. Well, you should read this post so you can see my analysis of what I think about it. Also, I would like you to comment on whether you agree or what you think might happen in the market or what remains of the cycle. https://paragraph.com/@lenonmc21/navigating-the-cryptocurrency-crossroads-are-we-ready-for-the-final-rally-or-trapped-in-greed?referrer=0x2e1b03a953CE8F6294443F02Ad9a87a6dac94958