đ Understanding Market Phases in Crypto Trading. Every market moves through cycles â and recognizing these stages helps you trade smarter, not harder:
đ˘ Accumulation Area: Smart money quietly enters the market. Prices are low, sentiment is weak, and assets are oversold.
đ Opportunity for long-term entries.
đ Markup Phase: Demand outweighs supply â prices rise steadily as more traders join in.
đ Momentum builds, FOMO starts.
đ´ Distribution Area: Whales and institutions begin to distribute (sell) their holdings.
Market becomes overbought, and volume starts to slow.
đ Markdown Phase: Supply overtakes demand â prices drop sharply as retail exits.
đ Fear dominates the market again.
đ The cycle repeats. Smart traders accumulate when others panic and take profits when others chase.