We all know more than 90% altcoins are joke. Suppose I have 500K Waves which worth around $350K in present market. CMC says market volume is $11M which means me selling 500K WAVES shouldn't have much effect on the market price because it's just 3% of the market volume. But dare I sell those 500K WAVES and believe me market will crash like hell, it is possible that market price of Waves will fall below $0.40 from present $0.75
It's actually much worse than you think. At Binance, which is the exchange with the highest altcoin liquidity, market selling 500,000 waves will result in the price to flash crash to below $0.10 which just shows how difficult it is to exit at once with these altcoins if you have a large position.
I stopped believing alts all together now, these are joke. It's better to stick with Bitcoin and work for the development of Bitcoin as universally accepted currency/asset rather than trying to make profits out of shitcoins having no real value and utility.
Nothing wrong with trading altcoins left and right with proper risk management, but the problem is that you can't possibly know what coin to choose beforehand in current market. In 2017's bull run you could blindly buy an altcoin and still make 500-1000% profit, but that doesn't work anymore. Retailers are rekt and they might not come back anymore for a similar pump.