Opinion: The growth of small and medium-cap altcoins in this round far exceeds that of Bitcoin, and high sensitivity means the trend is prone to rapid reversal.

October 18 - Crypto analyst Darkfost stated that since the end of August, small and mid-cap tokens have seen the strongest market cap growth. Data shows that the gap between the annual average and monthly average market cap of such assets continues to widen, with the current ratio reaching 41%. In comparison, Bitcoin's growth trend is positive but limited in magnitude, with a ratio of only 7%, while large-cap assets are even lower at 3.5%.

The analyst pointed out that this is a rather rare phenomenon. Typically, Bitcoin is the initiator of market trends, as was evident after the bear market ended in 2023. However, small and mid-cap tokens are more sensitive to market capital and sentiment, and their trends may rapidly reverse in either direction in the short term. Investors need to be alert to the high volatility risks brought by this structural characteristic.