The Five Iron Rules of Cryptocurrency Trading in a Bull Market, Be Sure to Remember!
First, when the price of a coin soars and falls slowly like a snail, it undoubtedly means someone is secretly stockpiling. They are buying at low prices to prepare for a future surge. At this time, you need to sharpen your eyes; the opportunity may be right in front of you.
Second, on the contrary, if the price of a coin plummets while it hesitates to rise, be careful; it's likely that the market makers are quietly unloading. They want to sell their chips at high prices, and the market may soon be heading downhill. At this time, don’t foolishly wait to buy the dip; it's best to withdraw quickly.
Third, when the market is at a high point and trading volume increases significantly, don't rush to sell. This is because the market may still have upward momentum. However, if the trading volume suddenly decreases, you must withdraw quickly. This indicates that the market lacks the strength to rise, and if you don't act, you may get trapped.
Fourth, when the market is at a low point and trading volume suddenly increases, don't impulsively buy. This may just be a small rebound during a downtrend. Be patient and observe; only when the trading volume continues to increase and funds keep flowing in is it a good time to enter.
Fifth, ultimately, trading cryptocurrencies is about trading people's sentiments. When everyone thinks in one direction and works together, the price can rise. In the stock market, “thinking in one direction” is reflected in trading volume. A large trading volume indicates consensus among participants, all buying and selling; a small trading volume suggests uncertainty, with everyone waiting and watching.