#比特币反弹
A big influencer taught me
the basic logic of contract trading, the core is "margin" and "counterparty orders".
The role of margin is leverage; by pledging a small amount of funds to the platform, you can leverage hundreds of times the capital, amplifying profits by hundreds of times. Once losses exceed the margin, forced liquidation occurs, resulting in total loss.
The logic of counterparty orders is also simple: one person believes the price will rise in the future, while another is bearish. The platform facilitates the transaction between the two, where one person's profit is inevitably the other's loss.
Bullish means believing the current price is low, so you buy first and sell later when the price rises.
Bearish means believing the current price is high, so you sell first and buy back later when the price drops.
The bullish party is a potential bearish party. The bearish party is a potential bullish party.
In a short time, a rapid increase in price makes those who haven't entered the market worry about risks and choose to wait; even if they are bullish, they tend to buy when the price falls. At this time, the candlestick's performance shows that the price increase rate slows down, and trading volume decreases.
Those making profits are eager to secure their gains; if they find the price seems unable to rise further, they will choose to sell, causing the price to drop. This is the essence of technical pullback.