Sector Correlation Divergence(



Logical Explanation: The crypto market has obvious sector effects (such as AI tracks, RWA tracks, and public chain tracks). Usually, within a sector, the leading coins (“leading dragons”) rise first, and then the second-tier coins will play catch-up. This strategy is designed to capture the time gap of “the leader has taken off, and the second leader is about to start.”

* Detailed Operations:

1. Build a watchlist pool: categorize coins by sector (such as SOL ecosystem, Ethereum L2, Memecoin).

2. Look for deviations: when you observe that the sector leader (such as SOL) has surged 5\% within 15 minutes, while strong projects in the same sector (such as JUP or PYTH) have not moved yet.

3. Enter: immediately go long on the “second-tier” in the contract (derivatives) market.

4. Take profit: exit when the second-tier has completed its catch-up, or when the leader starts to pull back.

Case Analysis:

BTC spot ETF has passed, BTC leads the rally, but ETH is temporarily inactive.

* Result: Funds usually spill over; by entering contracts before ETH catches up, you profit from the sector rotation logic.
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BTC-0.05%
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