First, some context: I am in no way a Bitcoin maximalist — I think there's some value outside of Bitcoin, but ultimately BTC is my 'main' crypto holding and every profit I make with altcoins has always been exchanged back into BTC.
In crypto bull markets, the common opinion is that in a full-blown bull market, pretty much everything goes up unison. This is based on crypto's general performance back in the last bull market of 2017.
The thing is, people seem to expect the same thing in this cycle. Do I think it will be the same whereas pretty much everything goes up? I don't think so. Capital and attention are too spread out and too diluted.
Compared to 2017 — as if we didn't have so many coins/tokens already back then, we have far more coins and tokens now; we're talking huge multiples more coins/tokens. Money will be too spread out this cycle that price pumps will likely be heavily suppressed.
I and a lot of people here frequently say that BTC is the better pick for the masses(which has always been true), but regardless, I'm usually only like 10% BTC overall most of the time because I like risk and I have been historically successful with picking altcoins. But this cycle? I have far fewer altcoin holdings and am more concentrated on BTC as the r/r has gotten worse with altcoins, and I think a lot of people will be disappointed — regardless if we generally continue to go up or not.
Will there still be altcoins that will achieve huge multiples? There will always be such altcoins.
Will I be right? Maybe, maybe not. Time will tell.
Honestly this just made me second guess myself lol. The thing is I have been an altcoin fanatic ever since I made bank back in 2020, but historically I made millions thanks to the bitcoin ATH back in 2016. This bull season I was thinking of doing the same thing, invest a couple on bitcoin just to keep my foot on the door and I don't lose out too much cause bitcoin, and then most of my assets are diversified to whatever is the hot shit in the bull season. This year I'm putting my bets on RWA cause I just like the concept of having a "collateral" which will make sure projects just can't run away whenever, but I might pull out or invest more on bitcoin from here on out. Altcoins are risky and taking that risk when the whole market's diluted as you're saying just do not make sense at least for me.