The following are some basic rules and strategy suggestions for cryptocurrency trading: (1)
1. Opportunities during significant daytime declines: If the domestic market continues to fall during the day, this could be a good opportunity to buy the dip. Based on experience, after 21:30 in the evening, international market traders may start to rally, leading to a price rebound.
2. Caution during significant daytime increases: Conversely, if the domestic market experiences a significant rise during the day, it may face correction pressure in the evening. Therefore, it's not advisable to blindly chase high prices at this time to avoid getting trapped at high levels.
3. Understanding spike signals: The spike phenomenon is an important signal in trading. When prices experience sharp fluctuations, this may indicate that the time to buy or sell has arrived. The greater the depth of the spike, the stronger the signal usually is.
4. Responding to favorable news: Before major meetings or the release of positive news, the market often reacts in advance, leading to price increases. However, once the news is out, the market may return to rationality, and prices may drop accordingly.
5. Reverse thinking about community information: When a community is enthusiastically discussing a certain cryptocurrency and promoting its investment value, this may signal a reverse operation. Conversely, if a cryptocurrency is rarely mentioned in the community but piques your interest, it may be worth trying to buy some.
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