🔄 What Is Narrative Rotation in Crypto?
Narrative rotation is when market attention and capital shift from one crypto theme to another.
Money doesn’t leave the market — it moves.
🔍 How Narrative Rotation Happens
It usually occurs when:
A popular sector becomes overextended
Early investors take profits
New stories, trends, or use cases emerge
Examples include rotations between DeFi, NFTs, AI, Layer 2s, Gaming, or Memecoins.
🧠 Why It Matters
Narrative rotation explains why:
Strong projects can stagnate
“New” sectors suddenly pump
Markets look confusing despite high liquidity
Being early in a new narrative often brings the best risk-reward.
⚠️ Important Reminder
Not every narrative lasts.
Chasing late hype often ends in drawdowns.
💡 Key Takeaway
Follow where attention is moving, not where it already peaked.
In crypto, trends rotate faster than emotions.
