A recent interesting phenomenon has emerged in the market: large funds are quietly changing their allocation strategies.

Many investors have noticed that capital previously concentrated in leading cryptocurrencies like BTC and ETH is beginning to flow into small- and mid-cap altcoins. This rotation pattern has shown clear breakout signals on the technical side—the structure of large and small coins is aligning in a rare way, which could indicate an upcoming wave of market opportunities.

According to market observations, coins that are currently expected to achieve 2-4x returns typically share several common characteristics: first, they have broken out in a clear technical pattern; second, important applications are about to launch within their ecosystems; third, there are signs of increased institutional holdings.

DOT, AVAX, and ATOM have recently frequently appeared in discussions of this type. They each have ecosystem layouts in their respective fields and have recently shown some positive signals.

However, we need to remain calm here: we are still in the early signal stage. Confirming a true market trend may still take time, and some pullbacks are inevitable along the way. Before entering the market, it’s best to carefully assess how much volatility you can withstand. After all, stories of doubling your gains are very appealing, but the experience of losses can be just as profound. How to view and participate in this round of market depends on your own risk tolerance.