I'll just say the conclusion directly: Although the recent surge of leading ecosystem tokens is fierce, the real opportunity is no longer here. Forward-looking funds have already started positioning for the next breakout point—a seriously undervalued Layer2 project. Let’s break down this matter today.



🔥 The dangerous signals behind this phenomenal rise

The recent rally of top ecosystem tokens has indeed been intense. Early investors have certainly made a fortune. But here’s the problem—looking at the candlestick charts, the RSI has already broken through 90, which is a typical sign of short-term overheating. Even more painfully, colleagues in the office who usually don’t touch cryptocurrencies are starting to ask, “Can it still go up?” When this全民FOMO (全民 Fear Of Missing Out) atmosphere appears, it usually means the top is not far off.

The underlying fundamentals are actually fine—DeFi total locked value has surpassed 10 billion dollars, and the NFT market shows signs of recovery. But fundamentals alone are not enough; technical positioning is what matters. If the $120 level is broken, it’s highly likely to drop to $105 or even $95. So at this point, short-term traders should consider taking profits, while long-term holders can wait for a pullback to re-enter.

💡 Funds are secretly flowing in this direction

In a bull market, money is always flowing, especially from expensive assets to cheaper ones. When the leading coins have already surged so much, incremental funds naturally shift to those sectors that haven’t yet taken off. Recently, there has been a lot of activity in Layer2 projects, and a top Layer2 project has already begun to show its teeth.

This project has a very solid background. It is backed by top-tier capital, and its ecosystem development is in full swing. Compared to those coins that have already gone through a rally, the value proposition here is clearly better. As long as market sentiment continues to heat up, rotation effects will persist—this is an unavoidable pattern in every bull market.

The current question is not “Can we make money,” but “Where is the money flowing to?”
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • 7
  • Repost
  • Share
Comment
0/400
BetterLuckyThanSmartvip
· 7h ago
It's the same old story. When top coins skyrocket, they say the opportunity is gone. Then they pivot to pushing Layer2. Such deep tactics.
View OriginalReply0
AllInAlicevip
· 8h ago
Is this the same spiel again? Is Layer2 really that attractive? --- Honestly, I've seen too many of these "fund flow" theories, and they usually don't amount to much. --- When RSI breaks 90, it's time to run. There's no point arguing about that. --- Wait, when did this guy start promoting Layer2? --- Top coins are surging so strongly, and you're still saying the opportunity is gone? That's hilarious. --- I'll reconsider below 110; chasing highs now is purely gambling on human nature. --- Support from top-tier capital + cost-effectiveness—when these two words appear together, I immediately go the opposite way. --- The全民FOMO (全民 Fear of Missing Out) signal is indeed a bit scary, but saying it can flip completely overnight is too absolute. --- With so many Layer2 ecosystems, why is it just that one "showing its teeth"? Isn't this just deliberately teasing the market? --- Good question about where the money is flowing, but the answer doesn't necessarily have to be the one you think.
View OriginalReply0
MemeEchoervip
· 8h ago
Oops, here comes another hype about L2. I'm already tired of this pitch from last year. * Is RSI 90 really the end? I remember last time they said the same thing, and it broke new highs again. It's definitely comfortable to take profits early, but those still chasing this wave haven't missed out on gains either. * Cost performance? Underestimated? Sounds just like that "seriously underestimated project" from last year. * I just want to know what this project actually is. Saying "supported by top-tier capital" is a bit too vague. * Stop researching where the money is flowing all day. Just tell me which coin you want to bottom fish. * My office colleague asked if it's still possible to buy in, which is indeed a top signal. I believe that. * Every bull market is a rotation, so why do you keep missing out, haha? * L2 will rise, but when it does, it definitely won't be our turn.
View OriginalReply0
MagicBeanvip
· 8h ago
They're at it again, trying to fleece retail investors. I've heard the Layer2 spiel since last year.
View OriginalReply0
ChainChefvip
· 8h ago
nah, this layer2 recipe is still half-baked imo... RSI at 90 screams overcooked, but the real sauce? that's simmering somewhere else entirely rn
Reply0
SeasonedInvestorvip
· 8h ago
You're trying to cut us old leeks again. The layer2 concept was heard last year.
View OriginalReply0
SilentAlphavip
· 9h ago
You're trying to hype up Layer2 again; I heard this same spiel last year.
View OriginalReply0
  • Pin

Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate App
Community
  • 简体中文
  • English
  • Tiếng Việt
  • 繁體中文
  • Español
  • Русский
  • Français (Afrique)
  • Português (Portugal)
  • Bahasa Indonesia
  • 日本語
  • بالعربية
  • Українська
  • Português (Brasil)