Investidor Matuto
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When to sell cryptocurrencies?
6 signs to identify the market peak
The current scenario
Knowing how to buy is important, but knowing how to sell is what separates those who realize profits from those who give everything back to the market. Many investors ignore this step, letting the "greed effect" dictate their decisions.
The trigger
There are clear signs that indicate when the market may be at its peak:
- Inflow to exchanges – Large volumes of coins being deposited for sale.
- RSI (Relative Strength Index) above 80 – Strong overbought condition.
- Fear and Greed Index at "extreme greed" – Collective sentiment is overly optimistic.
- Hype on social media – Mass adoption of crypto terms by those who have never talked about the subject.
- Parabolic price action – Fast and unsustainable rises.
- General rise without fundamentals – Weak projects skyrocketing along with the market.
The impact on the cryptocurrency market
Ignoring these signs can lead to sharp drops shortly after the peak, turning significant profits into losses.
What to expect
By combining these indicators with analysis tools, such as those available on Binance, you can plan strategic exits, protect gains, and reinvest at the right moment in the next cycle.
6 signs to identify the market peak
The current scenario
Knowing how to buy is important, but knowing how to sell is what separates those who realize profits from those who give everything back to the market. Many investors ignore this step, letting the "greed effect" dictate their decisions.
The trigger
There are clear signs that indicate when the market may be at its peak:
- Inflow to exchanges – Large volumes of coins being deposited for sale.
- RSI (Relative Strength Index) above 80 – Strong overbought condition.
- Fear and Greed Index at "extreme greed" – Collective sentiment is overly optimistic.
- Hype on social media – Mass adoption of crypto terms by those who have never talked about the subject.
- Parabolic price action – Fast and unsustainable rises.
- General rise without fundamentals – Weak projects skyrocketing along with the market.
The impact on the cryptocurrency market
Ignoring these signs can lead to sharp drops shortly after the peak, turning significant profits into losses.
What to expect
By combining these indicators with analysis tools, such as those available on Binance, you can plan strategic exits, protect gains, and reinvest at the right moment in the next cycle.
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