Understanding the trends in the Crypto Assets market is crucial, and mastering the following five core laws is essential:
First Law: When the market experiences a rapid surge followed by a slow decline, it often indicates that large funds are gradually accumulating positions. This "rapid rise and slow fall" pattern is actually a preparatory phase for the next wave of upward momentum.
Second Law: After experiencing a sharp decline, only a weak rebound can occur, which is usually a signal for large amounts of capital to accelerate their exit. This "sharp drop weak rebound" pattern indicates extremely high risk, and investors must remain highly vigilant.
Third Law: A price reaching a new high accompanied by huge trading volume does not necessarily mean the market has peaked. This phenomenon may also be a manifestation of new funds entering the market. Remember this key point: a top with increasing trading volume can be observed sustainably, while a top with declining trading volume should be watched with special caution.
Fourth Law: A sudden surge in trading volume after a significant price drop is not always an ideal buying opportunity at a low point. In more than half of cases, this could be a temporary trap during the downward process. A more reliable buying signal should be a combination of three consecutive days of increasing trading volume with bullish candles.
Fifth Law: The price of Crypto Assets is essentially the product of market sentiment games and actual trading volume. K-line patterns can sometimes be misleading, but the trading volume data composed of real funds is usually more valuable for reference.
The Mindset Training of Top Traders: - Maintain a "calm as if holding cash" mindset when holding assets, and do not panic due to short-term fluctuations. Strictly follow the established plan. - Maintain a "hold like" sensitivity when not holding positions, continuously monitor market trends, and do not miss key signals.
Practical operation suggestions should focus on the following daily: - Key Price Support and Resistance Level Analysis - Monitoring of Main Fund Flow - Overall market sentiment indicator assessment - Real-time alerts for abnormal fluctuations
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Understanding the trends in the Crypto Assets market is crucial, and mastering the following five core laws is essential:
First Law: When the market experiences a rapid surge followed by a slow decline, it often indicates that large funds are gradually accumulating positions. This "rapid rise and slow fall" pattern is actually a preparatory phase for the next wave of upward momentum.
Second Law: After experiencing a sharp decline, only a weak rebound can occur, which is usually a signal for large amounts of capital to accelerate their exit. This "sharp drop weak rebound" pattern indicates extremely high risk, and investors must remain highly vigilant.
Third Law: A price reaching a new high accompanied by huge trading volume does not necessarily mean the market has peaked. This phenomenon may also be a manifestation of new funds entering the market. Remember this key point: a top with increasing trading volume can be observed sustainably, while a top with declining trading volume should be watched with special caution.
Fourth Law: A sudden surge in trading volume after a significant price drop is not always an ideal buying opportunity at a low point. In more than half of cases, this could be a temporary trap during the downward process. A more reliable buying signal should be a combination of three consecutive days of increasing trading volume with bullish candles.
Fifth Law: The price of Crypto Assets is essentially the product of market sentiment games and actual trading volume. K-line patterns can sometimes be misleading, but the trading volume data composed of real funds is usually more valuable for reference.
The Mindset Training of Top Traders:
- Maintain a "calm as if holding cash" mindset when holding assets, and do not panic due to short-term fluctuations. Strictly follow the established plan.
- Maintain a "hold like" sensitivity when not holding positions, continuously monitor market trends, and do not miss key signals.
Practical operation suggestions should focus on the following daily:
- Key Price Support and Resistance Level Analysis
- Monitoring of Main Fund Flow
- Overall market sentiment indicator assessment
- Real-time alerts for abnormal fluctuations