Shanzhai: Waiting for the Right Opportunity, Precision Ambush on Market Conditions
Currently, altcoins are generally in a state of low volatility, lacking trending opportunities, and operational value is limited. We maintain a strategy of holding cash and observing, patiently waiting for clear bottom signals in the market before choosing the right time to invest.
Key Features of Bottom Formation: The true bottom of altcoins is often accompanied by the following technical signals:
Volume Selling: Major funds strongly wash out, leading to panic selling
Consolidation with Decreased Volume: The 4-hour level shows an extremely low-volume consolidation state
False Breakout Signals: Small-scale candlestick patterns show false breakouts with increased volume, but prices do not make new lows
Volume-Price Divergence: Price oscillation ranges gradually rise, but trading volume continues to shrink
Judging Golden Buy Points
When there is a high risk-reward opportunity of "downside space <10%, upside space >30%", consider building positions in batches.
Especially: Strong sector leading coins
Coins with sustainable hot concepts
Low market cap varieties with healthy volume-price structure
Continue to remain observant, avoiding blind bottom-fishing
Focus on observing changes in volume at the 4-hour level
Wait for the above bottom features to appear before considering batch investments
Prioritize high resilience and strong rebound quality altcoins