Have you been paying attention to the news in the crypto world this week? There have been quite a few major developments—viewership of crypto-related content on video platforms has plummeted, and over 11.6 million projects have completely exited the market last year, with those purely conceptual tokens suffering the most. Coupled with the $19 billion leverage liquidation wave in October, the entire screen is filled with pessimistic voices.

But after years of navigating this industry, I want to share a heartfelt message: don’t be scared by the current slowdown. Those who truly understand the market know that the biggest opportunities often hide in the darkest corners.

Let’s first see what’s happening now. Retail investor enthusiasm has clearly cooled—this can be seen from online discussion levels. A large number of projects without real applications are being ruthlessly eliminated; this is the market’s self-purification process. The leverage wipeout was a double-edged sword; although it caused significant volatility, it also burst the speculative bubble. Frankly, this is a sign of reshuffling. After the frenzy subsides, what remains are the truly valuable assets.

But that’s not all. Several on-chain indicators I’ve been tracking reveal another story: while short-term funds are retreating, the holdings of major wallets remain unchanged, and exchange reserves of various tokens have not shown abnormal fluctuations. What does this mean? Smart money hasn’t run away; it might even be quietly building positions. Looking back at history, after each leverage liquidation storm like this, the market gradually stabilizes and then rebounds.

My judgment is this: this downturn is not the end, but a necessary consolidation during the mid-term adjustment. The fundamentals of the crypto market are still intact, especially for leading tokens and projects with real utility, which are definitely worth paying attention to. As for those tokens that rely on hype, it’s better to stay away. Historically, after a period of cooling, the market could see a turnaround in the second half of the year—this pattern has been repeatedly validated since 2021.

I’ve warned about leverage risks before, right? This time proved it again. So trust my view: stay calm, keep observing market trends, and hold onto assets that have real vitality. No matter how big the storm, only valuable things will remain. Let’s chat in the comments, share our thoughts and strategies.