Be sure to eliminate the behavior of holding orders!
By looking at the 1-hour trend chart of ACT, it can be seen that its price has sharply dropped from 0.95 to 0.54, a decline of as much as 43.16%.
However, to return to the previous high point, a significant increase of 75.93% is required.
This asymmetrical relationship between ups and downs profoundly reveals the core logic in the trading process:
Price declines can be considered easy, but recovery is as difficult as climbing to the sky, with the required increase far exceeding the decline.
In the market, price declines often only require emotional selling behavior from investors or can be influenced by local unfavorable news to push the price down.
In contrast, price recovery must rely on stronger capital inflows and a complete restoration of market confidence, both of which usually require a significant amount of time and the waiting for a suitable opportunity to arise.
