$ETH Do you want to earn U for a lifetime, or spend a lifetime earning U?
$BTC After eight years of trading, I initially entered the market with several tens of thousands, and now I support my family through trading!
$ZEC I can say that I have used 90% of the methods and techniques in the market. If you want to treat trading as a second profession to support your family, sometimes listening and observing more will reveal things beyond your understanding, which can at least help you avoid several years of detours!
How to determine if a cryptocurrency has formed a breakthrough? You can start from four aspects: volume, price, time, and space:
1. Volume: Before the troops move, the supplies must be ready. In the early stages of trend formation, increased volume is an indispensable link, especially the first increase in volume after a long consolidation, which we need to focus on. However, this is not the best entry point; generally, after a trial pullback and the main force's washout ends, the second increase in volume for a rise is our real opportunity;
2. Price: Generally, we look at the closing price. No matter how turbulent the process is, if the closing price stabilizes, it indicates that the main force is serious! This is the key to distinguishing between real and false breakthroughs. In summary, if the closing price is above the resistance level, the probability of a real breakthrough greatly increases;
3. Time: Before a breakthrough occurs, the cryptocurrency price should ideally have gone through a long period of reduced volume consolidation, lasting more than 3 months, with a chip concentration of less than 10%. Only with sufficient accumulation by the main force can the subsequent rise have stronger explosive power;
4. Space: You need to identify the key resistance level. This resistance level could be the previous volume adjustment's starting position, or it might be the neckline position of W-bottom or head and shoulders bottom formations, or it could be an integer point of the cryptocurrency price. As long as the resistance level is clear, once the price breaks through, the potential for appreciation can be easily measured;
These four dimensions are the foundation for judging horizontal breakthroughs.
Giving someone a rose leaves a fragrance in your hand. Brother Tiger shares valuable insights periodically!
