The cryptocurrencies that suddenly rise!
Have you noticed in Binance's daily posts that some coins rise dramatically during hours?
Is this luck? Or is there a secret behind it?
Here is the first secret that professionals learn: liquidity and volume
When you see a coin suddenly appearing in the
Top Gainers or Top Volume,
it means that there is "a lot of money" flowing into it.
But the question is:
Is this money from investors? Or speculators?
And this is where your role as a beginner comes in: do not enter before you know:
1. Did the trading volume suddenly increase?
This indicates an abnormal movement, watch out and don’t rush.
2. Did news or partnerships about this coin appear?
Sometimes Binance lists a new coin, or publishes an important update about it.
3. Did the coin rise without any reason?
Beware, it could be a pump and dump scheme.
Today's advice:
Follow the list of the most traded coins daily, and note the names of the coins that keep appearing.
The coins that the market frequently mentions are worth studying.
Tomorrow: We will learn how to distinguish between real rises and false rises.
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