#数字资产市场洞察 looked at a heatmap of alts' market capitalization, quite interesting.

At first glance, it seems to suggest that "history will repeat itself"—from the trends of previous cycles, there is indeed a sense of déjà vu. But there is an easily overlooked pitfall here: the alts that are currently circulating in the market are no longer the same batch of alts from back in the day.

The problem is very real. On one hand, new coins are continuously flooding in, and the exaggerated FDV makes the total market capitalization look very high and prosperous. On the other hand, the actual funds willing to take over have not increased. The result is that established alts are being pushed out—many coins' market capitalization has already dropped to a fraction of what it was five years ago, and some have simply been declared dead.

So this chart can at most be used to judge whether the market sentiment has recovered and whether liquidity has been fully cleaned out. Want to use it as evidence of a "alts collective rebound"? That might be overthinking it.

To put it bluntly—at this stage, many alts are not adjusting but are truly abandoned by the market.