How to cleverly use support levels in cryptocurrency trading?

(1) In an upward trend, during the pullback process, if the bearish candlestick is weaker than the previous bullish candlestick, especially when approaching the support price level, and the trading volume shrinks, then a bullish candlestick quickly engulfs the bearish one, leading to a price rise, this indicates effective support.

(2) In an upward trend, during the pullback process, if there are frequent bearish candlesticks, indicating increased bearish pressure, even if there is a slight rebound near the support line, the buying power is weak, and the price will eventually break below the support line, this is called a trend reversal.

(3) If consolidation occurs near the support line, and after a period of consolidation, a long bullish candlestick appears, the support line is naturally effective.

(4) If consolidation occurs near the support line, but a long bearish candlestick slides down through the support line, investors will rush to exit to minimize losses, causing the price to continue to decline for a while.

(5) If the price breaks down through the support line, it indicates that the trend will shift from an upward trend to a downward trend. Generally speaking, in a major upward trend, if an intermediate downward trend appears and the price breaks below the support line of this intermediate downward trend, it indicates the end of the major upward trend; in an intermediate upward trend, if a minor downward trend appears and the price breaks below the support line of this minor downward trend, it indicates the end of the intermediate upward trend, and the price will continue to decline according to the original major downward trend.

(6) If the price touches the support line from above but fails to reach or just touches the support level and then rebounds, if there is a high trading volume accompanying this, then when a downward adjustment occurs again, one can purchase to obtain rebound profits.

(7) If the price breaks down through the support line from above, and there is a high trading volume accompanying this, it indicates the formation of another downward trend, and one should sell at the slightest pullback to avoid greater losses.

(8) If the price touches the support line from above, although it has not broken below, but there is also no trading volume to support it, this indicates no possibility of a rebound, and one should exit the market as early as possible.