Pair trading opportunities usually arise between related cryptocurrencies. Taking $hype, $lit, and $aster as examples, here are some trading ideas worth paying attention to.

First, consider going long on $hype while shorting $lit — this strategy is based on the judgment that $hype is relatively undervalued. When two assets are correlated in their price movements, this hedging method can effectively reduce systemic risk.

Conversely, you can go long on $lit and short $hype, with the logic that positive news for $lit is imminent. Once the catalyst materializes, this position can yield quick profits.

More aggressive traders might go long on both $hype and $lit, while shorting $aster. The underlying assumption is that, in the process of market selection, the two relatively strong projects will eventually stand out. From an ecological competition perspective, strong projects tend to attract more capital and users, while weaker projects gradually become marginalized.