The rise and fall of the currency circle has a regular pattern in 90% of the time periods.
The factors that affect the rise and fall of the currency circle can be summarized as
fundamental news + market sentiment + the trend of the leading currency (Bitcoin).
Relying on fundamental news to speculate in currency is a kind of speculation. If you make arrangements in advance, you can take the opportunity to make a profit when you encounter the release time of major news. For example, when the US dollar announces whether to raise interest rates, as long as the direction is grasped correctly, you can achieve short-term profits. Of course, this method is not used in most trading sessions.
Market sentiment is affected by the rise and fall of fundamentals and currency prices. It is more emotional and more difficult to control. If it is not a big bull or bear market, it is not recommended to follow the trend.
The last one, the trend of currency prices, especially the trend of Bitcoin, can drive more than 90% of the currencies on the market. The price of Bitcoin has historical rules to follow. When it reaches a certain pressure level, it must turn around decisively. Related knowledge has been shared before.
A very important point about the rise and fall of the currency circle is expectations and emotions, not changes in actual value.
If the sentiment is bullish, it will rise; if the sentiment is bearish, it will fall. To put it bluntly, it is the expectation.
So, how to judge the current market sentiment through data?
It is not based on blind guessing, but there are data that can be traced.
So I have always advised retail investors not to play alone.
Finally, if you are a pure novice, and you want to rush into the currency circle when you see BTC hit a record high before, then I suggest you pay attention to me first, learn the knowledge of the currency circle with me, and make up for your basic skills. Only by laying a solid foundation can you go further.
