At 3 AM, staring at the jumping K-line on the screen, I suddenly laughed out loud — this was the 37th day after the third liquidation, and I finally understood the 'big player's bottom line' hidden in the market. The awareness gained from 8 million has now become the foundation for stable profits in my account.
1. Top Divergence: A retreat alert hidden in new highs.
On the day Bitcoin surged to 69,000 USD in 2021, while my account had a floating profit of 4 million, all around me were cries of 'breaking 100,000'. But I was stunned looking at the MACD indicator: the price reached a new high, but the red energy bar shrank to half of the previous high.
At 3 AM, I was so nervous I couldn't hold the mouse while clearing my positions. The next day, when the market plummeted 58% and the exchange liquidation alerts sounded like air raid sirens, I finally understood: Top divergence is a signal of the big players quietly exiting the market.
Such cases have repeated countless times in the market:
In 2023, DOGE surged to 0.35 USD, but the energy bar was only 30% of the previous high, followed by a 42% retracement in 3 days;
In 2024, when PEPE had its first golden cross, the energy bar suddenly shrank by 20%, briefly spiking before entering a monthly-level adjustment.
Ironclad rules must be ingrained: new price highs + energy bar volume reduction, regardless of how heated the sentiment is, first reduce positions before anything else.
2. Bottom Divergence: A buying opportunity hidden in a crash.
Compared to the 'clear warning' of top divergence, bottom divergence is more like an 'opportunity in the undercurrent'. Last year, when LUNA went to zero, most people panicked at 'price going to zero', but I saw key signals on the weekly chart: the price set a new low, but the green energy bar was 60% shorter than the previous low.
Further layering on-chain data — Whale address 0x5f3 has continuously accumulated for 21 days, and exchange inventory has sharply reduced by 40% — is this a collapse? No, it's quietly building a bottom. Three months later, the RWA concept exploded, and this wave of market precisely achieved double returns.
The core logic is simple: New price lows + energy bar volume reduction indicates that selling pressure is exhausting. At this moment, keep your eyes open for signals, rather than panic selling.
3. Practical mindset that can be realized (bold parts must be remembered).
1. Three-cycle resonance method: making signals more precise.
The 30-minute chart determines short-term direction (looking at the immediate linkage between the energy bar and price);
The 4-hour chart assesses trend strength (whether the energy bar continues to expand);
Daily lock-in of the macro tone (to avoid being swayed by short-term fluctuations).
2. Distinguishing true and false golden crosses: avoiding 80% of traps.
The first golden cross often serves as 'bait' (especially when combined with significant outflows from OKEx hot wallets, be extra cautious);
A secondary golden cross + large on-chain transfers to wallets is the real opportunity worth following (the 120 USD market of SOL in 2024 was triggered by the combination of these two signals).
3. Ultimate risk control: don't let small mistakes lead to liquidation.
Top divergence + whale net outflow exceeding 5 million US dollars in one day, immediately cut positions (even if losing 5%, it's better than holding until liquidation);
Bottom divergence + long-short ratio < 0.7, build positions in batches (each position not exceeding 15%, using trial and error costs for certainty).
4. From 'understanding' to 'instinct': muscle memory training method.
The most 'crazy' thing I did after the liquidation has now become a core competency:
Print out 100 classic divergence case studies and stick them all over the bathroom. I recall patterns even while brushing my teeth;
Every night before bed, I compare the MACD changes of 3 cryptocurrencies, forcing myself to write 'Energy Bar Observation Notes';
Set an automatic alert in the trading software for 'Energy Bar Volume Reduction 20%', letting the system help monitor the market.
Now, with my eyes closed, I can draw the full cycle energy bar pattern of SOL rising from 12 USD to 120 USD — this isn't talent, it's a reflex developed from 8 million in tuition fees.
How many people have lost hope in the fluctuations but stabilized their positions with this 'catch divergence' system? I haven't counted, but the core is clear: see the signals and dare to follow, dare to cut losses, and don't hesitate or drag things out. The market is never short of opportunities; what’s lacking is the patience to turn 'awareness' into 'instinct' — after all, trading that can endure bull and bear markets is never based on luck.
Blindly trading alone will never bring opportunities. Follow Super Brother, and I will take you to explore tenfold potential coins! Top-tier resources!
