Most traders lose their shirts not during the depths of a bear market, but during the temporary 5% to 10% relief rallies that look like the start of a new bull run. It is the gut-wrenching feeling of watching a token bleed for months, only to FOMO back in at the first sign of green and get trapped at the local top. You want so badly to believe the bottom is in, but you end up providing exit liquidity for the smart money.

I have seen this movie play out in every cycle since 2017, and the recent price action on $PI is no different. The recent 7% rebound in $PI has sparked a lot of hope, but veteran traders know that price action is temporary while market structure tells the real story. Until the bulls can reclaim key resistance levels with sustained buying volume, these minor pumps are just liquidity traps.

True trend reversals require accumulation, not just a quick spike. When an asset is in a macro downtrend, sellers control the order books and will sell into any strength. If you are looking at $PI or even majors like $BTC right now, focus on the volume profile and higher-low structures on the daily chart rather than chasing green hourly candles.

Are you buying this bounce, or do you think it is just another trap for late buyers?

#CryptoTrading #TechnicalAnalysis #MarketStructure