The cyclical cycles of a single market such as BTC/USDT or the entire cycle of Altcoin/USDT go through 4 stages, which all correspond to trading psychology (Including fear, excitement , desperate + disinterested).
- First: During the start-up phase, the currency pair or market will always move sideways in a cumulative form, when most prices do not increase or decrease much and correspondingly, the trader's psychology is less interested in the prices. This is because volume is very boring but most of the big guys who are the main price drivers of the market are holding a little at a time, typically increases or
- Tuesday: Acceleration phase, when the big guys have just beaten it once more, the small guys are scared and sell at the bottom of wave 2 once more (this stage is usually in a very wide amplitude sideway area, shaking Shake to make scared people jump out before increasing sharply). This will be a big wave 3, wave 3 usually increases very strongly, extremely strong like the recent altcoin and btc wave. Now that other components believe that the uptrend season has come, they will follow and eat very little, because experienced people bought 3-5 months ago from October, November, December 2020. and they will gradually sell each time BTC creates a minor peak (temporary short-term peak in a smaller elliot wave) in addition to psychological excitement.