#Altcoins Rally Massively, Should You Take Profit? The primary question being asked right now: 'Should you be buying into #Altcoins, or should you be taking profits?' It's the question that divides everyone in the space as it's the first real move upwards in a long time. ⬇️ Time to discuss what has been happening in the past week, as it's a tremendously big move upwards for $ETH and every altcoin, even memecoins. First of all, the FED meeting took place on May the 7th, which provided basically no news as the FED has decided not to provide any rate cut. However, concerns are rising that the tariffs will have a substantial impact on the markets and would raise inflation and/or unemployment. If the latter is going to rally upwards (above 5%), it would strengthen the thesis that the FED needs to lower the interest rates to stimulate borrowing and to fiscally stimulate the activation on the business cycle. Clearly, the markets are not valuing the decisions by the FED as important anymore, as $ETH has broken upwards by more than 20% since. Now, on May the 8th, Trump announced a deal with the UK on the tariffs. This small event shows that there's a likelihood of the markets calming down and that the worst might be behind us, the panic might be slightly overshot. The key trigger for the markets to rally upwards isn't from the U.S., it's from China. Earlier in the week, the Chinese Central Bank decided to lower the interest rates to the lowest level ever, namely 1.3%. This indicates that investors, entrepreneurs, corporates are able to borrow at 1.3% in China, which is heavily stimulating the activities within the economy. On top of that, they've lowered the reserve ratios for banks, easing up even more, and they'll start doing more QE packages to stimulate the domestic markets. This has been the big trigger for the markets to rotate. CNH/USD goes up --> ETH/BTC goes up Remember, when the Chinese Renminbi goes up, the Dollar becomes weaker, and that means a positive business cycle and therefore strength on the altcoin markets. That's what's been seen in the previous rallies on the markets, as Bitcoin has approached $100,000 and Ethereum broke back above $2,000 and outperformed Bitcoin by more than 20%. A strong change in market temper and sentiment has been made and this could be the kickstart of that bull market that we've been waiting for. First question - Is Bitcoin almost at the peak or are we firing up a new cycle? This is an interesting one that divides a lot of people in the markets. Some say Bitcoin has peaked and you'll need to get out as soon as possible, others will say that a new leg is upon us. I tend to be in the second group. I think that we're going to witness a significantly longer cycle and that blindly staring at relative values for Bitcoin doesn't make sense. If we look at the strength of Bitcoin in the past 2 years, then the reasoning behind that strength is heavily skewed towards the ETF launch and Trump getting into the Office. That's great, although, in between, the business cycle was heavily bearish, so without those events, Bitcoin wouldn't be making a new all-time high. Also, realize yourself: Bitcoin is at $100,000 while interest rates are at 4.3%. Bitcoin was at $69,000 in 2021 with interest rates at 1%. Imagine how high Bitcoin could go this cycle while having the ETF available for all investors + interest rates to go down. Anyways, if we value Bitcoin in Gold, it's still down 30% from the all-time high and that's a key trigger. I think we'll make new all-time highs in this cycle in that comparison and I think it's more valuable to start benchmarking assets to eachother rather than looking at the Dollar valuation. Second Question - Should you sell your Altcoins? Well, this all depends on everyone's personal preferences. However, what we need to realize is that we're just having a MINOR move upwards on Ethereum. A minor one. During those minor moves upwards you'll see two groups of people jumping onto social media: 1 - This is the start of the bull market, buy your bags. 2 - This is a fake relief rally and we'll continue to fall, as we've been doing that for the last years --> larger group. The thing is, when 1 really happens, 2 will be left behind and the pain is going to be massive for that group. I know from experience, if the altcoin markets start to turn, they'll continue to run up significantly and you won't be granted many opportunities to be getting into the markets unless you'd be happy to be buying back substantially higher. I don't think that we're going to crash again, I think that the business cycle is about to end it's worst period in crypto's history, namely 4 years, and that we're facing a 2-year bull market on the entire crypto sector where we'll be seeing a ton of adoption. During this week, we've seen that Stripe is activating stable coin payments on $ETH, the day after Pectra was announced. This is the time to be massively bullish on the markets, not bearish. The bear market starts when everybody is happy. Not when everybody is still depressed.