Today’s market generally moved higher, and looking back at recent trends is quite interesting. Since reaching the peak on October 6th, Bitcoin has been in operation for nearly three months. The sharp decline on October 11th directly liquidated leveraged positions in the market, and over the following two months, the market repeatedly explored and oscillated around the bottom area. The shakeout at the spot level has basically come to an end.

The decline in altcoins has been quite frightening—most have fallen about 90% from their all-time highs. Those who should have cut their losses already did, and retail investors holding on stubbornly at this price basically have no desire to cut anymore; frankly, they are no longer worth much. However, from a technical perspective, the downward momentum of altcoins is indeed weakening, and the outline of a phased bottom is gradually emerging.

But where the true bottom is remains to be seen, and it depends on whether Bitcoin can break through past cycle patterns. I personally tend to believe there will be a breakout, but currently, market sentiment and liquidity are still tight, and recovery will take time to consolidate. There is room for a rebound, but don’t expect a surge—under this market condition, chasing the rally can easily lead to a quick reversal. Even if the market eventually rises, it will most likely be a slow upward trend within a range of oscillation.

The most prudent approach at this stage is to observe the next few days’ performance before deciding whether to build positions.