Do you remember the bull market days? It seemed like you could make money just by buying anything. Back then, it was like dreaming with a smile on your face.

But now? You’ll notice a pretty shocking phenomenon: the crypto market is clearly in a bear phase, yet the stock market and the S&P 500 are hitting all-time highs. Even more outrageous, Bitcoin’s decline isn’t significant, while your altcoins are racing towards zero.

This is no coincidence. To put it simply, we are all participating in a game of "wealth transfer." Stocks, Bitcoin, and altcoins may seem to be in the same market, but in reality, they operate under three completely different sets of rules. Understanding this logic is the starting point for you to go from being a victim of "cutting leeks" to becoming a true hunter.

**The first truth: Liquidity is the real engine behind all rises**

Whether it’s Nvidia stocks, Bitcoin, or a newly issued Meme coin, the fundamental reason they can rise is only one—global liquidity.

When the Federal Reserve or central banks around the world start "printing money," fiat currency depreciates significantly. The excess money has to go somewhere, so it flows into various risk assets. It may look like you’re making money, but in reality, your money is just becoming "fuzzier."

From a data perspective, when M2 (broad money supply) surges, stocks, crypto assets, and almost everything else tend to rise together. This doesn’t mean these assets are truly becoming more valuable; rather, the money in your hands is depreciating in value. In essence, all the gains are a hedge against the shrinking purchasing power of fiat currency.

This is the only common point between stocks, Bitcoin, and altcoins.