In the cryptocurrency market, the fate of altcoins can be described as a tale of two extremes. Some investors share their painful experiences of having their 500,000 funds shrink to 80,000 in altcoins late at night, while others celebrate the joy of PEPE coin's value skyrocketing more than tenfold. This extreme contrast highlights the complexity and uncertainty of the current altcoin market.

Although a new wave of altcoin enthusiasm seems to have arrived, we should not expect it to replicate the 'investing with eyes closed could profit' phenomenon of 2021. In the current market environment, funds tend to concentrate on a few high-quality projects, while most coins may become also-rans.

The reasons for this situation are mainly threefold: First, the number of cryptocurrencies in the market has surged from over 10,000 in the past to now tens of thousands, leading to an excessive dispersion of investors' attention and funds. Second, although the total market capitalization is close to $2.5 trillion, the available funds are relatively insufficient compared to the speed of the increase in the number of cryptocurrencies. Finally, large investors have shifted their strategies, no longer investing broadly but instead concentrating their efforts on a few potential projects.

In such a market environment, altcoins that can achieve significant growth usually possess some common characteristics. These characteristics may include a strong technical background, clear application scenarios, active community support, and more. Investors need to be more cautious and conduct in-depth research into the fundamentals of the projects rather than blindly following market trends.

It is worth noting that even when being trapped in the current market environment, one should not panic excessively. The key is how to identify those projects that have potential and can bring substantial value to the industry. Investors should focus on long-term development and pay attention to high-quality projects that can stand out in competition.

Overall, the current altcoin market is both full of opportunities and fraught with risks. Investors need to stay clear-headed, conduct thorough research and risk management, in order to seize genuine investment opportunities in this rapidly changing market.