Want to carve a path in the crypto world as a newbie? These 6 principles are enough to help you transition from a novice to a multi-million player.
1️⃣ Rapid rise and slow decline = market manipulation, not the end
A sudden spike followed by a slow decline is mostly the operator clearing positions, don't panic and sell. The real top is a "sharp rise + a cliff-like drop".
2️⃣ Sharp decline and slow rise = retreat signal
A significant drop followed by a weak rebound may seem like recovery, but it's mostly a trap for buyers; easily trying to catch the bottom can lead to direct losses.
3️⃣ High volume does not equal exit; low volume at high levels is dangerous
High volume is just capital changing hands; the true precursor to a crash is when suddenly "no one is trading" at high levels.
4️⃣ A single spike in volume does not indicate a bottom; sustained and moderate volume is the real signal
A single large volume spike at the bottom is mostly a false signal; a steady increase in volume after a period of low volume fluctuations is the true accumulation zone.
5️⃣ Understanding volume means understanding market sentiment
Candlestick charts are the result; volume is the motivation. Low volume = no interest; high volume = capital is at play.
6️⃣ The real experts: the three non-attachment principles
No obsession: reverse immediately if the direction is wrong
No greed: do not blindly chase rapid rises
No panic: have the courage to take a position when the trend is clear
If you can reach this level, you can be considered to have truly crossed into the "expert threshold".
Remember: the market is never wrong; only your reaction speed can be wrong.
In the crypto world, predicting the future is useless; being able to maintain your mindset and survive to the future is the true winner. @K哥财经