The Five Iron Rules of Trading Coins, You Must Remember!

If it rises quickly and falls slowly, that means the big players are secretly accumulating. They want to quickly raise the price and then slowly let it fall, quietly collecting more chips in preparation for the next big surge.

Conversely, if it falls quickly and rises slowly, that means the big players are starting to retreat. They are eager to sell off their holdings, so the price will drop quickly. Then, they will slowly raise it again to attract retail investors, but by that time, the market has already entered a downtrend.

If the trading volume is high at the peak, don’t rush to sell. That could just mean the market is hot and there is still room for an increase. But if the trading volume is low at the peak, then you should hurry to exit, as this indicates that the momentum for the rise is insufficient.

If the trading volume is high at the bottom, don’t rush to buy. That could be a small rebound during the downtrend; you need to wait and see. But if the trading volume remains high, it indicates that funds are continuously flowing in, and at that point, you can consider entering the market.

When trading coins, what you are really trading is everyone’s emotions. When market sentiment is good, coin prices rise; when market sentiment is poor, coin prices fall. Trading volume reflects the consensus of everyone and the behavior of investors.

In fact, everyone understands these principles, but the key is being able to control your hands and maintain a good mindset. Don’t let the temporary ups and downs cloud your judgment, or you’ll end up hurt. Risk management is a great learning! Listen to advice, and you can eat well! Those with insight understand to follow the trend, and when the market is unclear, remember to ask someone!

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