After a wave of increase, the market often retraces to the original trend's 0.618-0.65 range, which is what traders commonly refer to as the "golden pocket".

This position is prone to turning points, not because of any mysterious forces, but because in most trending markets, bulls do two things here:

A portion of people take profits, while another portion continues.

This behavior leaves a structural characteristic: when the price drops back near 0.618, it has not yet broken the previous low, and the trend direction has not been damaged. In other words, it is still a "normal retracement".

Further speaking, what should really be noted is not the numbers, but the price structure:

If the previous low has been broken, moving averages turn, and capital flows out, then 0.618, no matter how perfect, is just a reference.

But if support is not broken, there is a mild retracement, and the price is right at the golden pocket, then it is a good opportunity to find stop-losses and high risk-reward ratio trading opportunities. #比特币流动性