Why are cryptocurrency markets falling so fast? And why are they rising slowly?
#The particular reason why cryptocurrency markets fall quickly and rise slowly is due to the highly psychological nature and collective behavior in these markets. When a sudden drop occurs, many investors rush to sell their holdings for fear of big losses, which puts tremendous pressure on prices. Conversely, when prices start to rise, investors hesitate to enter quickly due to their fear of repeating the same negative scenario (i.e. fear of bubbles or sudden decline), which leads to a slow increase in demand. Also, due to the limited number of major financial institutions that enter and exit the market quickly, and the large trading volume that can be caused by some major players, we find that market movements are often sharp in both directions.
🔴 Don't get upset or rush and listen to me carefully 🔴
If you bought currencies and are currently losing due to the decline, here are some ways and tips to correct your situation:
Don't sell at a loss: If you don't need the money now, wait. The market is always fluctuating, and it may rise again in the future.
Review your situation: See if the currency you bought has a strong project and future. If its situation is good, be patient with it.
Don't add more: Don't try to support the currency by buying more now. Wait until the market starts to improve.
Learn from experience: Analyze why you entered and what mistake you made (such as entering at a high price or without a plan). So that you don't repeat the same mistake.
Think long-term: The digital currency market is volatile, but if the currency is strong, long-term investment may be better.
In short: Be patient, don't sell at a loss, and don't add new investments now, and focus on learning and planning for the future.
Previous trend (2021): • The chart indicates that the market witnessed a strong rise after exceeding a certain market cap ($1.14 trillion), which coincided with a strong bull run in 2021. • This rise was driven by a wave of speculation and expansion in altcoins. 2. Current situation (2024): • The market is currently at levels close to $1.01 trillion, and appears to have broken through or close to major resistance areas ($1.14 trillion). • There is currently a period of accumulation (blue area) between support and resistance levels, indicating the potential for bullish momentum to build. 3. Future outlook (2025): • The scenario shown in the chart indicates the potential for a strong market rally if the resistance at $1.14 trillion is successfully broken, which could lead to the start of a new bull run. • Future market targets seem ambitious and may exceed $1.8 trillion and possibly $2.2 trillion. Possible scenarios: 1. Positive scenario: • If the market manages to hold above $1.14 trillion and gain buying momentum, altcoins may enter a strong upward wave. • Supporting factors: positive news, wider adoption of digital currencies, and no regulatory tightening. 2. Negative scenario: • If the market fails to break the resistance and is rejected, 💲 we may see a return to previous support levels (1.01)