The fluctuations in cryptocurrency prices are full of mysteries; you need to guess the intentions of the big players. If the price of a coin rises rapidly but falls slowly, it often indicates that the big players are secretly accumulating chips, preparing for another wave of significant market movement. They want to buy low, so they deliberately let the price drop slowly to make retail investors anxious to sell, allowing them to pick up bargains.
Conversely, if the price of a coin drops quickly but rises like a snail, you need to be cautious. This may indicate that the big players are quietly unloading their holdings, and the market may be turning bearish. They want to sell at high prices, so they deliberately allow the price to rise slowly, making retail investors believe there is still hope and encouraging them to hold, allowing the big players to take the opportunity to offload.
When the price is high and the trading volume is surging, don’t rush to sell; there may still be another wave of market movement. High trading volume indicates that there are still active traders, and the market retains vitality. However, if the trading volume shrinks to a line, you need to pull out quickly because low trading volume indicates that no one is trading anymore, and the market cannot rise.
At the bottom, if the trading volume suddenly expands, don’t rush to buy; that may be a small pause during a decline, and the big players may still be unloading. But if the trading volume continues to rise steadily, you need to consider entering the market because this indicates that someone is actively buying, and the market may be about to reverse.
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