In the cryptocurrency trading world, there are several market rules worth noting that can help us judge trends and opportunities:

1. Rapid rise and slow fall may be a signal for accumulation:

When the price quickly rises, followed by a slow pullback, and if the pullback is not significant, it usually indicates that the main force is quietly accumulating positions during the consolidation process. In this rhythm, selling pressure is gradually being digested, and funds are secretly accumulating, likely preparing for subsequent market movements. However, further confirmation is needed by combining volume conditions for a comprehensive judgment.

2. Rapid fall and slow rise, beware of selling risks:

If the price drops sharply and then only slowly recovers, and the recovery strength is weak, it may indicate that the main force is slowly distributing positions at high levels. At this time, the buying power in the market is weak, and the rise lacks sustainability; investors should be cautious of a potential downward cycle.

3. Top volume, recognize the timing to exit:

When there is an increase in volume in the top area, it does not necessarily mean it is the peak of the market. Because an increase in volume may indicate that there are still disagreements between the bulls and bears, and the market may continue. However, if the top shows a situation of shrinking volume while rising, this means that the buying momentum is almost exhausted, and the upward trend is difficult to sustain; at this point, a decisive exit is needed.

5. Emotion drives volatility, volume reflects consensus:

The short-term fluctuations of cryptocurrency prices are mostly driven by market sentiment, while trading volume is a direct reflection of market sentiment. High trading volume generally corresponds to strong consensus in the market, which may amplify market trends; low trading volume indicates smaller market disagreements, or lower market attention, making it difficult for trends to form scale. In the trading process, investors need to pay attention to both market sentiment and changes in trading volume.