Spot cryptocurrencies become the mainstream of investment: LD Capital founder interprets the market pattern shift

The investment logic in the cryptocurrency market is quietly changing. Jack Yi, founder of LD Capital, recently stated that the current market landscape has undergone a profound transformation, with spot investing replacing short-term trading as the mainstream choice. What does this shift reflect? Perhaps it marks an important watershed where crypto investment strategies move from speculation to pragmatism.

Three Major Signals of Market Pattern Changes

Jack Yi pointed out that the Bank of Japan’s monetary policy adjustments are a key external pressure facing crypto assets. Once this long-term constraint is lifted, the market will enter a new upward cycle. This judgment is based on in-depth observation of macroeconomic trends.

Factors supporting this include: gradual improvement of global regulatory frameworks, expectations of a rate-cutting cycle driving liquidity reallocation, and expanding blockchain application scenarios. These elements together form a new pattern in the cryptocurrency market.

Meanwhile, volatility in the derivatives market is masking the true state of the spot market. Price fluctuations caused by futures short sellers create profit opportunities for spot buyers. This is why professional investors are beginning to distinguish between “market noise” and “fundamental value.”

Spot Investing vs. Futures Trading: The Key Differences You Need to Understand

What does buying spot crypto mean? Simply put, you acquire actual digital assets that are immediately transferred into your wallet. In contrast, futures trading is just a bet on price movements—you do not truly own the underlying asset.

This distinction is crucial for investment strategies. Spot investors focus on long-term value accumulation, while short-term traders aim to profit from daily volatility. Both approaches carry risks, but given the current market environment, Yi clearly recommends most investors choose the former.

Why? Because spot investing allows you to truly own the assets and practice the crypto credo: “Not your keys, not your coins.” This ownership model has historically protected cautious investors across market cycles.

Volatility as an Opportunity, Not a Risk Signal

Many investors are scared off by short-term fluctuations, which is precisely the core misconception Yi emphasizes. He presents a simple yet profound logic: whether you can withstand hundreds of dollars in short-term volatility determines if you can potentially earn thousands of dollars.

In other words, volatility is not a reason to panic but a litmus test for an investor’s resolve. The market will automatically weed out participants who cannot psychologically handle fluctuations, leaving long-term holders to reap the benefits of market recovery.

This also explains why now is viewed as a “buying opportunity.” During the most uncertain market moments, the participants with the strongest fundamentals are most willing to increase their positions.

Three Growth Drivers for 2025

Looking ahead to next year, at least three factors will drive crypto appreciation:

Policy normalization brings regulatory certainty. As regulatory frameworks around the world become clearer, institutional participation will further increase.

Monetary policy shifts release liquidity. The anticipated rate-cutting cycle means capital will seek yield opportunities again, making risk assets the top choice.

Expansion of application scenarios enhances actual value. Blockchain is no longer just a speculative tool; its applications in payments, settlement, identity verification, and other fields are accelerating.

These three factors constitute what Yi calls the “perfect storm”—jointly driving a new growth cycle.

Practical Path to Building a Spot Investment Portfolio

If you agree with Yi’s view, how should you act? First, clarify your investment time horizon. If you can tolerate 2-3 years of market fluctuations, then spot investing is a reasonable choice.

Second, adopt a dollar-cost averaging strategy rather than investing all at once. This approach smooths out entry costs and reduces timing difficulties. You don’t need to precisely predict market bottoms; regular investments will automatically increase holdings at lower prices.

Third, focus on projects with strong fundamentals. Yi’s analysis applies to the entire crypto market, but when choosing specific assets, consider development activity, practical value, and community support.

Finally, don’t let short-term price swings influence your decisions. Market dips are normal. The advantage of long-term investors is that they can ignore these short-term fluctuations and focus on returns years down the line.

The Essence of Market Timing Judgment

What is Jack Yi’s core point? The crypto market rarely offers perfect timing, but strategic windows do exist. When major external pressures are lifted, fundamentals strengthen gradually, and market participation increases, that’s such a window.

According to his analysis, this window is now. But that doesn’t mean investing all your funds immediately. Instead, it’s a suggestion to start systematically accumulating spot assets.

For long-term holders, the key question isn’t “Is now the perfect time to buy?” but rather “If I don’t start now, what will I miss in the future?”

This Strategy Is Not for Everyone

To be honest, Yi’s advice has a clear scope of applicability. If you cannot tolerate short-term losses, lack psychological readiness for market volatility, or have a investment horizon less than a year, then spot crypto investing may not be suitable for you.

The crypto market remains risky. Before making decisions, ensure you fully understand these risks. Having idle funds, long-term patience, and the ability to accept potential losses are basic prerequisites for participating in spot investing.

Final Thoughts

Market patterns are changing, and so are investors’ choices. Moving from futures speculation to spot accumulation is not just a strategic shift but also a reflection of the crypto market’s increasing maturity.

If you’ve been on the sidelines, now might be the time to reassess your investment assumptions. But whatever your decision, make sure it’s based on rational analysis rather than emotional swings. The crypto market will ultimately reward those with vision and patience.