Looking at the recent market trends, it's quite interesting. When BTC is oscillating at the bottom, you'll notice a very strange phenomenon—those altcoins are no longer making new lows. Many people think this means the bulls are fierce, but that's not the case. Honestly, it’s just that everyone who wanted to sell has already sold. The two waves of brutal cleansing in October and November not only shook out retail investors but also allowed the big players to lay out their bottom positions. Now, all that’s missing is a trigger; a spark is enough to ignite the entire grassland.

So why did PEPE lead the charge? This is definitely not random. First, this coin has gone through multiple 50% cuts, so the floating supply is very limited; second, its market cap is lightweight, and it doesn’t take much money to trigger a significant rise; plus, MEME coins are fundamentally just a pure emotion game—once the sentiment shifts, they become the best outlet for emotion.

Funds are now starting to rotate, and the transmission path of the entire MEME sector is becoming clearer. DOGE, as an established leader, is seeing large investors continuously increasing their positions, derivatives trading is soaring, and with a solid community base and a compelling story, it naturally becomes the main safe haven for capital. Once DOGE, with its large market cap, is saturated, liquidity will inevitably spill over into smaller, more wild targets. Look at the quietly rising "little dog" MEME coins—once ignited, their gains can often surpass expectations.

However, there are also undercurrents in the macro environment. The core logic of the current market is still centered around the Federal Reserve’s interest rate cuts. Recent non-farm payroll and unemployment data, if they show any unexpected fluctuations, could instantly change the direction of risk assets. If rate cuts are delayed or economic data overheats, this rebound, driven by liquidity expectations, could collapse right before or after the January FOMC meeting.

Therefore, trading must be layered. In the short term, you can follow the MEME rotation rhythm to participate, but with light positions and quick entries and exits—only targeting those with thorough shakeouts. Treat mid-January as a key window, gradually building hedging positions on rallies, leaving room for a possible sentiment reversal. The essence of MEME’s carnival is emotional release, but the party will eventually end. The question now is: are you planning to ride the wave or find an exit in advance?