📊 Demand Retest Pattern & Volume Profile Analysis: How to Spot the Best Buy Points in Crypto Trading
🔍 Key Points: 1.Critical Areas Identification - POC: High volume accumulation zone, the best buying area - Base Zone:Long-term consolidation — longer holds, stronger breakout
2.Typical Price Stages ▸ Accumulation: High volume absorption → formation of POC ▸ Retest: Breakout followed by low-volume pullback to POC → ideal entry point ▸ Rally: Low-volume rise after breaking the base zone → hold signal
💡 Crypto Trading Application: 1.Buying Timing: When price pulls back to the POC area with: · Volume shrinking to 30%-50% of previous levels · A 4-hour candle showing a long lower wick
2.Invalidation Signals: · Heavy volume breakdown below the POC during retest · Failure to reclaim the upper boundary of the base zone during rebound
❓How do you use volume and price to find entry points? Share your best retest stories!
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📊 Demand Retest Pattern & Volume Profile Analysis: How to Spot the Best Buy Points in Crypto Trading
🔍 Key Points:
1.Critical Areas Identification
- POC: High volume accumulation zone, the best buying area
- Base Zone:Long-term consolidation — longer holds, stronger breakout
2.Typical Price Stages
▸ Accumulation: High volume absorption → formation of POC
▸ Retest: Breakout followed by low-volume pullback to POC → ideal entry point
▸ Rally: Low-volume rise after breaking the base zone → hold signal
💡 Crypto Trading Application:
1.Buying Timing: When price pulls back to the POC area with:
· Volume shrinking to 30%-50% of previous levels
· A 4-hour candle showing a long lower wick
2.Invalidation Signals:
· Heavy volume breakdown below the POC during retest
· Failure to reclaim the upper boundary of the base zone during rebound
❓How do you use volume and price to find entry points? Share your best retest stories!