Recently, the cryptocurrency market has shown new dynamics. We have observed that although Ethereum is performing strongly, the short-term appeal of Bitcoin seems to have declined. Market hot money is leaning towards Ethereum and other altcoins, mainly because they offer greater volatility and potential high returns.

Bitcoin is currently facing a challenge at the critical threshold of $118,000. There are signs that institutional investors are deliberately controlling trading volumes to maintain their chip advantage ahead of any potential interest rate cuts. This strategy suggests that once favorable policies are implemented, we may see a significant upward trend.

Before the announcement of the interest rate cut policy, Bitcoin is likely to continue consolidating at high levels. Meanwhile, Ethereum and some high-quality altcoins may still have room for growth. However, investors need to be cautious, as the trading pace of these currencies may accelerate and volatility may increase.

In the current market environment, investors should remain vigilant and flexible. While there are opportunities for substantial returns, there are also significant risks involved. Closely monitoring market trends and policy changes, and adjusting investment strategies accordingly, will be a wise move in the near future.

It is worth noting that the cryptocurrency market is gradually attracting more mainstream attention. Changes in relevant policies may have a profound impact on the market, and investors should continuously monitor developments in this field.