Five Iron Rules of Cryptocurrency Bull Market, Must Be Kept in Mind!
First, if the coin price skyrockets like a rocket, but when it falls, it moves as slowly as a snail, then there must be forces quietly accumulating chips. They are buying heavily at low prices, aiming to carefully layout for a significant rise later. At this moment, you must remain highly alert; an excellent opportunity may have already come before you.
Second, conversely, if the coin price plummets like a free fall, but when it rises, it appears hesitant and indecisive, then you must raise your vigilance, as it is highly likely that the major players are quietly offloading their goods. They attempt to sell a large amount of chips at high prices, which may indicate that the market is about to enter a downward channel. At this time, do not blindly wait for the bottom-fishing opportunity; making a decisive exit is the wise move.
Third, when the market is at a high, and the trading volume surges sharply, do not rush to sell. Because the market may still have strong momentum for continued upward movement. However, once the trading volume suddenly drops, you must decisively retreat. This indicates that the market has already lost its upward momentum; if you continue to fight, you may likely fall into a trapped situation.
Fourth, when the market is at a low, and the trading volume suddenly increases, do not impulsively enter the market to buy. This could merely be a brief rebound during a downward trend. You need to patiently observe; if the trading volume can continue to expand and there is a steady inflow of funds, then that is truly an excellent opportunity to enter the market.
Fifth, tracing back to the root, cryptocurrency trading is essentially a game of human psychology. Only when everyone works together with a common goal can the coin price steadily rise. In the cryptocurrency market, the so-called "hearts in one place" is key to the indicator of trading volume. A large trading volume means that people's opinions align and trading is active; a weak trading volume indicates that people are anxious and in a wait-and-see situation.
