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This is because the early traders and investors go out and make profits, but soon new investors enter their place to make profits and buy the time of the rapid decline.
Finally, do not forget that the digital currency market is always characterized by very strong price fluctuation. This is because the market is new and therefore small in size and can be controlled and influenced very easily by whales and large financial bodies.
At the time of an uptrend, upward movements in the market are always very violent due to strong buying pressure. This usually leads to breaking the high and constantly forming a new high. Therefore, the price never respects the resistance areas. But on the other hand, the price always respects the support areas and quickly bounces up after the decline.
Bull market price corrections are usually violent, fast, and sudden, and do not last long. We will see examples of this later in other paragraphs.
This means that if you believe that the crypto trend is rising, you can always buy during absolutely violent corrections. What is meant here is a decline in the price of about 20%. This is considered a very reasonable percentage in crypto, as the crypto market is always subjected to a rapid price correction at the time of the rise, ranging between 20 to 30% before it rises again.
Trading strategies amid an uptrend or how to buy cryptocurrencies from a rise?
Since the beginning of 2024, the prices of digital currencies have been rising continuously. By March 2024, the price of Bitcoin succeeded in breaking its highest peak, albeit temporarily, and forming a slightly higher peak before falling. But the price soon returned above $65,000 to attempt once again to break through the top and reach the $70,000 barrier. Alternative currencies and Ethereum have also been on the rise since the beginning of the year, and it seems that 2024 will be a strongly bullish year for digital currencies. How can you trade the rising trend? Let's find out!
Principles of bullish trend trading in crypto
First, you must understand what distinguishes the uptrend in crypto so that you can trade the uptrend. Until now, since the emergence of Bitcoin, the market seems to revolve in cycles, each of which lasts for approximately 4 years. Bitcoin experienced a very strong bull market in 2013, then another rise in 2017, a rise in 2021, and finally the current rise, which began in 2023 and is still continuing until now.
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The founder of Dogecoin posted a tweet containing his wallet address and wrote: “Send me some meme coins on Solana Network, I am literally the creator of meme coins.”
📢 Binance platform announced the deletion of 3 currencies from the platform: $DREP $MOB $PNT
The three currencies reacted to the news and fell by 50-60% immediately! Most of the time, deleting coins from the Binance platform is considered the last bullet to any coin.
📌 The platform usually deletes currencies for one of the following reasons or criteria: - Team commitment to the project. - The level and quality of project development activities. - Trading volume and liquidity. - Stability and safety of the network from attacks. - Network/smart contract stability. - Level of communication with the public. - Responding to the platform’s periodic requests due diligence. - Evidence of unethical, fraudulent or negligent behavior. - New laws and regulatory requirements. - The extent of contribution to a healthy and sustainable encrypted digital system.
🪧 Trading in currencies will be suspended on 04/03/2024 and the last time to withdraw currencies to other platforms or external wallets is 07/03/2024. #DREP#MOB #PNT
Similar to the Ethereum update EIP 4844, Binance Network released the BEP 336 update, which uses (BlobTx). In a way adapted from the new Blobs system on Ethereum, with differences in architecture. The new update will significantly reduce transfer fees on the BSC network and increase the efficiency of data management. Also similar to the Ethereum update, Blobs will have a separate market for transfer commissions, Blob Market.
In less than 14 hours, the new update to the Ethereum network, Dencun, will be launched. The update will be a major move for Layer 2 networks, specifically those that support Rollu technologies
This update will not actually reduce the transfer commission on Ethereum (a negligible reduction). Layer 2 networks are the biggest beneficiaries here.