Hidden Risks in Rebounds: Copycat Season Is Not Your Excuse to Be Impulsive

When market sentiment heats up, risk warnings are often the least welcomed but also the most important. The allure of altcoin rebounds lies in their resilience, but the deadly aspect is also in that resilience. Three risk signals require constant attention: First, a sudden increase in Bitcoin's market cap share indicates capital is flowing back into Bitcoin, and altcoins may be being drained. Second, altcoin trading volume expands while prices remain stagnant, often signaling distribution. Third, leverage ratios rise rapidly, and high-leverage contracts stacking up mean a liquidation waterfall could happen at any time. In altcoin markets, sentiment can be involved, but rationality cannot be absent. Use the amount you can afford to lose to chase gains, and hold most of your position in mainstream assets—that's the posture for long-term survival.