Market strategist Hartnett breaks down a compelling approach to navigating the 2026 "run it hot" market environment. The strategy centers on capitalizing on the current market momentum while managing risk exposure through tactical positioning.

The "run it hot" concept refers to aggressive market movements driven by bullish sentiment and increasing capital inflows into digital assets. For traders looking to participate, this involves identifying key support and resistance levels, monitoring volume trends, and timing entries during consolidation phases.

Key considerations include:

**Timing & Momentum**: Watch for breakouts above recent highs, particularly when volume spikes signal institutional participation. The 2026 market landscape is shaping up to reward those who maintain conviction during pullbacks.

**Risk Management**: Don't go all-in on single positions. Scale entries, use stop losses strategically, and maintain dry powder for market dips—even bull markets experience 15-20% corrections.

**Asset Selection**: Focus on cryptocurrencies showing strong fundamentals, adoption metrics, and network activity. Diversification across different categories (Layer-1s, DeFi protocols, emerging altcoins) can smooth volatility.

**Trend Following**: In "run it hot" markets, the trend is your friend. Let winners run while trimming losers quickly. Don't fight the tape with contrarian bets unless you have specific catalysts.

The bottom line: 2026 could deliver significant gains for disciplined traders who combine technical analysis with macro awareness. Success depends on execution, not just prediction.