Whether mainstream coins can continue their consecutive gains is no longer the key point. What truly requires vigilance is that today’s rally in altcoins shows a clear lag, which is an important signal for investors—funding divergence has already emerged at the current position, and short-term operations must pay attention to rhythm control.

**Divergence Between Indices and Individual Stocks**

Although mainstream coins continue to surge, the quality of the rise has become insufficient. The most critical point is that while the market is rising, the number of declining coins is also increasing steadily. This divergence will inevitably lead to a slowdown in the upward momentum of the index, ultimately likely resulting in high-level consolidation or a pullback correction.

The quick rebound after yesterday’s sharp drop in the morning was similar to today’s, but will we see the same large positive candle again? The answer is most likely no.

Yesterday, whether during the morning or afternoon plunge, the rebound was a resonance between the index and individual stocks, closing at the highest point. Today, after the morning plunge, only the index recovered its losses, while individual stocks did not follow the rebound—this is the core difference.

Resonance-driven recovery can boost market sentiment, but if only the index rises while individual stocks do not follow, it will intensify funding divergence, ultimately dragging the index down again.

**Funding Divergence Is the Core Signal**

From the current market sentiment, the market is likely to see more plunges in the afternoon. Every plunge will impact the rise of individual stocks. The decline in the index may not be too large, but most stocks will find it difficult to rise back, indicating that a large amount of capital is shifting towards risk aversion and defensive positions.

While many are still concerned about whether mainstream coins can sustain their rally, the real signals that should be prioritized have already appeared—funding divergence is intensifying. Many people focus on rising volume and prices, eagerly expecting the market to continue upward, but we must prepare in advance. Don’t wait until all coins fall sharply, the index clearly pulls back, and everyone reaches a consensus that “a short-term top requires a pullback,” before adjusting strategies in hindsight.

Bottom fishing requires foresight, and short-term risk defense also requires proactive measures. Only in this way can one escape the passive situation of chasing highs and selling lows.

**Core Point: Be Prepared for Defense**

This is not a bearish market outlook but a respect for the market trend’s performance. Don’t think that a continuous rise means no correction will occur; instead, recognize that normal market adjustments are inevitable. Compared to the large positive candles of the past two days, today’s market definitely won’t produce equally strong bullish candles, and the size of bullish candles will gradually diminish. This indicates that the index’s gains are being actively suppressed. The index may even plunge and turn red, which hints that most funds are taking profits at high levels.

In terms of operation, for sectors that have already surged significantly, heavy holders should consider trimming positions at high points. For sectors still in an upward trend, pay attention to pullback divergence within the trend—such divergence might be a good opportunity to participate in strong sectors.

**Sector Rotation Is Underway**

The positive news from last night has all led to a big rally today. Some hot sectors are experiencing collective breakout, driven mainly by news stimuli. Since these sectors are already in a strong zone, the landing of news becomes a key trigger for explosive growth.

But after a big rally in the morning, should you chase in the afternoon? From a short-term perspective, it’s strongly discouraged to chase highs. These sectors have already been rising for two days, accumulating a large amount of profit-taking within them. After the news lands, the market has fully reacted to the positive signals. Entering again after the peak of a big rally is a classic chasing behavior, completely missing the short-term rhythm.

Looking at the current trend, technology and other hot sectors remain the main themes of the spring market, followed by anti-inflation related tracks, and then large consumer sectors worth attention on an annual basis. The main battlefield for funds remains in technology and anti-inflation tracks. Consumer sectors, while offering opportunities throughout the year, are more pulse-like wave markets.

From the spring market’s pattern, funds will inevitably push hot sectors to new highs before switching directions. Therefore, the main opportunities in the spring market are concentrated in these leading sectors. There are many sub-directions within sectors, from domestic substitution to emerging themes, all of which have already shown trend-like movements. These directions may not all rise collectively, but the probability of rotation and upward movement is very high.

Remember: in a trending market, when these themes show clear pullback divergences, it’s a good time to enter and position, rather than chasing after any sector that has risen.

**Overall Judgment and Operational Suggestions**

The index is still pushing forward, but bullish candles will become smaller and smaller, and the market will enter a high-level consolidation phase. After consolidation, a correction may even occur. This process is precisely a window for both bulls and bears to exchange chips.

During this period, the overall trend of the index will not be broken, but individual coins will experience high-low switching and rotation-driven rebounds. The rhythm of rise and fall across different sectors will show clear differentiation. For stockholders and those who missed the move, operational strategies differ: those who missed out should patiently look for divergence opportunities to position, while those holding stocks need to grasp the rhythm of chip transfer.

The market trend is still there, and the enthusiasm remains, but signals of funding divergence should not be ignored. It’s crucial to find your own operational rhythm. The market is never short of opportunities; what’s lacking is the vision to not follow the direction after a big rise and to capture new opportunities in time. When you see some oversold sectors rapidly rising before the lunch break, it’s a sign that some funds have already shifted from hot themes to low-position or defensive sectors. Changes in the market need to be observed clearly—focus more on catching uptrends in the short term rather than stubbornly chasing after rising prices.