The Bloody History of Bottom Fishing in Cryptocurrency: Why Do We Always Buy in Halfway?
After several months of continuous decline, when a large bullish candle suddenly appears, many people believe they have found the bottom and start buying, only to end up buying in halfway. Why is that?
This large bullish candle is often a trap set by market makers. The market makers are either at their cost price or want to acquire low-priced tokens, so they push the price up a bit to let those who are trapped unload their positions, allowing them to acquire more tokens at lower prices. Afterward, the price often retraces or even goes lower.
Another scenario is when the market maker hasn't finished unloading their tokens or finds the selling price too low, so they pump the price to attract momentum traders to take over.
So when can we really buy at the bottom? It’s when the price drops sharply, suddenly a large trading volume appears at the bottom, and within 15 to 30 minutes the price quickly rebounds to form a pin bar. This is usually when market makers are accumulating at the bottom, as retail investors are often too afraid to buy in such situations; only market makers will buy in large quantities.
When bottom fishing, don’t just rush in because of the low price; you must understand the market conditions.
Although the market is slightly sluggish now, opportunities will come again. Just wait patiently for the pullback opportunity, and when it comes, I will lead everyone to aim for the lucrative opportunities in altcoins to position for spot trading. Doubling your investment is definitely possible. Like + comment, and I'll help you seize the big opportunities of this bull market.