When trading cryptocurrencies, don't just focus on price fluctuations; rely on your instincts. I talk to you every day about these: moving averages, volume, and open interest.

Moving averages indicate direction; short-term (5, 10, 30) moving averages are fast, while medium to long-term (90, 120, 200) moving averages are stable. Short-term averages have a higher chance of being misleading, while long-term averages are more reliable. For example, the 200-day line is often referred to as the boundary between bull and bear markets. Look at moving averages on 4-hour and longer time frames to find the trend. In extreme market conditions, small short-term moving averages are your last opportunity to get on board.

Volume shows strength. If the price rises without volume (which you often refer to as price increases without volume or price decreases without volume), it is not genuine. Only when volume increases is it real. A market without volume is unreliable or still accumulating energy.

Open interest indicates authenticity. If the price rises while open interest sharply increases, it indicates that someone is genuinely investing real money; if the price rises but open interest decreases, it is likely due to profit-taking or stop-losses, and those participants have already exited.

Combining these three: moving averages provide direction, volume verifies strength, and open interest confirms authenticity. When the direction is correct, strength is present, and real money is involved, that is a genuine market.