🟢 A Green Candle Is the Worst Place to Find a New Idea
If a coin only gets your attention after a violent green candle, you are already trading someone else’s position. The traders who pushed the move are in profit. Now they need fresh buyers to extend the run or provide exit liquidity.
You chase the pump with a long. Fresh money fails to follow through, and the candle unwinds into your entry.
You short the pump with no context. Funding gets pushed deep negative or starts settling hourly. Your margin bleeds while price holds, then one more squeeze takes the position out.
📈 Where a long begins
A long setup develops before the green candle: rising open interest, aggressive buying visible through CVD, price holding after the first expansion, buyers continuing to support the move.
Buying an extended candle with no confirmation makes you liquidity for traders who entered earlier.
📉 Where a short begins
A pump alone gives you no entry. Wait for a pullback, weak retest, stalled expansion, open interest unwinding or visible distribution.
Funding needs its own check. Deeply negative funding on an overheated coin can keep shorts trapped long enough for another squeeze.
⚙️ Remove the impulse
Crypto Resources screeners track open interest shifts, pumps, liquidations and funding distortions before a trade turns into candle chasing.
Trading bots follow predefined conditions: entry logic, filters, position sizing, risk control and execution through API keys without withdrawal rights.
The market keeps collecting from traders who arrive late and hold the wrong idea until liquidation. Do not become the liquidity.
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