In the crypto world, it is often a "slow rise and sudden drop." This situation mostly occurs during a rebound or in the middle of an uptrend. To put it simply, this is an old trick used to shake out investors during a bull market.
After a coin has finally risen for a few days, it suddenly experiences a big drop, wiping out the gains of several days in just one day. As a result, new investors and those who can't bear the loss get scared and sell off their holdings.
Once the price drops to a certain level and stabilizes, it starts to rise slowly again. When the stock price corrects to a new high and reaches a certain height, more people jump on the bandwagon, and the main capital uses this same tactic, suddenly hitting the brakes during the uptrend. This kind of drop is fast and short-lived; within a few days, the market can drop by 5%-10%, and sometimes even deeper, dropping 15%-20%. But don't worry, it will stabilize near important support lines.
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