Corrective movements in trading in digital currencies
When a sharp rise or fall occurs in the price of a cryptocurrency, this can lead to a price correction. In the event of a rise, the coin may be sold by players who want to make profits, causing the price to fall. In the event of a decline, the currency may be bought by investors who believe that the price has fallen enough, causing demand to increase and the price to rise again. These corrective movements are a natural part of the market life cycle, and investors can benefit from them strategically.