An old leek who has been immersed in the cryptocurrency circle for 7 years has summarized 5 laws, which are full of dry goods. I hope to provide some help for novices and help you avoid detours!
Rapid rise and slow fall is accumulation of chips
Rapid rise and slow fall indicate that the dealer is quietly accumulating chips and preparing for the next wave of rise.
Fast fall and slow rise is delivery
Rapid fall and slow rise mean that the dealer is gradually selling, and the market may be about to enter a downward cycle.
Don't sell at the top, run quickly at the top
If the trading volume is large at the top, it may continue to rise; but if the trading volume shrinks, it means that the upward momentum is insufficient, and it is better to leave the market as soon as possible.
Don't buy at the bottom, and you can enter the market if the volume continues to increase
The bottom volume may be a relay of decline, which needs to be observed carefully; if the volume continues to increase, it means that funds are constantly pouring in, and you can consider buying.
Speculating on cryptocurrencies is speculating on emotions, and trading volume is a reflection of consensus
Market sentiment affects the fluctuation of currency prices, and trading volume reflects market consensus and investor behavior.
Finally, I remind everyone that the trend of the cryptocurrency circle is full of uncertainty and challenges, but it also contains potential opportunities. When participating in investment, you must fully understand the relevant risks, stay calm and rational, and respond to market changes with a sound strategy!