Bitcoin's $110K Rejection Triggers Altcoin Stagnation, Top Trader Cuts Frequency

Top trader Eugene Ng Ah Sio recently shared his insights on the cryptocurrency market, highlighting the current challenges and his strategic adjustments. According to Ng, Bitcoin has been oscillating between $100K and $110K after facing repeated rejections at the $110K resistance level. This price action has led to a consolidation phase for altcoins, which are also showing signs of stagnation.

Ng expressed his concern that if Bitcoin fails to achieve new highs, the Total3 index, which represents the total market cap excluding Bitcoin and Ethereum, may gradually trend downward. He attributed this potential decline to the steady reduction of holdings in the market and the continued unlocking pressure on prices.

In response to the challenging market conditions, Ng has adjusted his trading strategy. He has significantly reduced his trading frequency and is now focusing only on high risk-reward opportunities. This shift in strategy requires extremely strict stop-loss measures and avoids chasing sentiment-driven coins that have already been pumped.

Ng also noted that the altcoin areas he is monitoring have not yet reached what he considers to be value zones. As a result, his spot positions remain relatively light, with most of his operations still based on short-term strategies. This cautious approach reflects his belief that the market has yet to bottom out and that further downward pressure may be on the horizon.