Insights from a 28-Year-Old Cryptocurrency Investor: High Win Rate 'Bottom Division' Trading Method
Investing in digital currency relies heavily on mindset, with technology as a supplement. My secret to navigating the crypto world with ease is to maintain calmness and composure.
Detailed Explanation of High Win Rate Structure 'Bottom Division'
1. Technical Features
Occurs at the end of a downtrend, consisting of 3 candlesticks:
The 1st candlestick (bearish dominance)
The 2nd candlestick (doji/small bullish/small bearish, slowing down of the downtrend)
The 3rd candlestick (volumetric bullish candlestick, engulfing the body of the 1st bearish candlestick, bullish reversal)
2. Market Implications
Bearish exhaustion + bullish counterattack signal, high probability of trend reversal.
Perfectly aligns with Dow Theory: the later high is higher than the previous high, indicating a short-term trend reversal.
3. Practical Analogy
The 1st candlestick: car going downhill (drop = speed, volume = power).
The 2nd candlestick: sudden brake to stop (downtrend stagnation).
The 3rd candlestick: turning around and accelerating (increase in price + volume = strong bullish momentum).
Key Tips
When paired with a bottom doji or ascending flag, the bullish signal is more reliable.
The more completely the bullish candlestick engulfs and the greater the volume, the higher the win rate.
Action Suggestions
After confirming the bottom division, you can gradually position yourself and go with the trend.