5 iron laws of cryptocurrency trading:
1. **Rapid rise, slow correction**: When the price of a currency rises rapidly and then slowly corrects, it usually means that the dealer is quietly absorbing chips and preparing for the next round of market.
2. **Sharp drop and slow rise, dealer selling**: The price of a currency falls sharply and then slowly recovers, which often indicates that the dealer is gradually selling chips and the market may enter a downward phase.
3. **The top volume is sufficient, no need to sell urgently; shrinking volume needs to be vigilant**: The high trading volume is active, indicating that the price of the currency still has room to rise. If the trading volume suddenly decreases, it means that the upward momentum is insufficient, and you need to leave the market cautiously.
4. **The bottom volume needs to wait and see; continuous volume is a buying point**: The bottom volume may be a temporary rest, and you need to observe carefully. But if the trading volume continues to increase, it means that funds continue to flow in, which may be a good time to enter the market.
5. **The trading volume depends on emotions, and the trading volume depends on consensus**: The fluctuation of the currency price is affected by market sentiment, and the trading volume reflects the market consensus and investor behavior. Keeping up with trading volume and understanding sentiment changes are the keys to seizing opportunities in cryptocurrency trading.