31 Days until the next Chapter + ISO 20022 goes LIVE | Capital Nexus - By Shepley Capital

The past few months have been rough for Crypto investors… What was once thought to be a market priming for “Up-tober” (October), & “Green November”, has in fact tumbled towards lows that haven’t been seen since early July. But despite every low moment & every painful thought along the way, the market has finally returned to predictable normality. For those of you that fell victim to the market’s forceful ability and sold your portfolio’s for a loss, these next few weeks of attempting to recover those lost gains will be extremely difficult. But for those of you that remain unwavering in your conviction to hold your portfolio, it won’t be long until green starts reappearing in your accounts.

Many investors will be using this time to accumulate more projects into their holdings; that especially includes the big players who confessionly have played a big part impacting the market into its current position. With all this in mind, it’s time to understand how the Altcoin rotation map will play out across the scene.

1. Liquidity always starts with Bitcoin
Every cycle begins the same way. When overall confidence returns to the market, capital starts flowing into Bitcoin,  with volume setting the tone for everything that follows. When Bitcoin growth is strong but slow, it usually signals that rotation is coming.

2. Capital then rotates into Top 10 projects
After Bitcoin starts to regain market cap territory, investors pivot into large cap projects with strong narratives. ETH, XRP, SOL, BNB.. these are the top four Altcoin players right now. This is usually the phase where retail starts paying attention, but the rotation is still early.

3. Then the narrative sectors fire up
This is where the real volatility hits. Narratives like AI, RWAs, DePIN, GameFi, and L1 alternatives begin to run.
Institutions and funds often enter here because they can justify narrative backed risk, not pure speculation.

4. Finally, the rotation hits high risk small caps
This is where most people get trapped. The late stage pumps look impressive, but they often collapse just as fast. We recognise this as the time where Memecoins feel like they’re flying up. Understanding timing here is critical because this is where leverage traders and late retail get wiped out. We just saw a glimpse of this back in early October.

It’s a pretty comfortable analysis that we’re seeing the start of stage 1 of the rotation map, with Bitcoin regaining 10% (at the time of writing this) over the past few days. In fact, we’re expecting that number is more like 18% by the time this goes out. Our advice for those that held during the past few months’ pain is to continue exactly what you’re doing. There’s no need to alter a performing strategy.

As for those of you that felt the need to sell… first off; we completely understand how hard this market can be. Investing, especially in the crypto space isn’t easy. Our advice to you is to check out all of our educational lessons & resources over on our website to help you regain that level of confidence you once had.

This space is only getting bigger & better. This is the time to get excited for what’s to come!