Why did $OM have a growth rate that was superior to $AAVE within 5 days, even though AAVE was in the phase of preparing to push up the price, while OM was only in the accumulation zone???
First of all, we need to know that the upward process of any altcoin always goes through stages and according to WICKOFF, the upward coin always goes through 4 stages: accumulation, price push, distribution and price suppression. And in the accumulation process, it also goes through the stages of any altcoin, although there are a few different variations, but in general, it also goes through 5 stages: determining the highest and lowest price zones of the organization to determine the collection of goods (phase A), collecting goods at the cheapest price possible in a border area or trading range (phase B), shaking off all small investors who can read the behavior of the organization during the collection process (phase C), the phase of calling on other organizations to put money in to prepare to push the price up strongly without ever going back to the accumulation zone (phase D), the phase of pushing the price to the highest possible price zone to create a FOMO mentality to distribute to small investors as much as possible (phase E). And as we can see, AAVE is currently in phase E and everything is ready to enter the price push phase, but why is it that when it goes up to the 154 zone, it is being sold off even though all the processes ahead have been completed while OM, at best, is only in phase D (SOS zone) and is much weaker than AAVE by 1 phase. But why in the recent period, OM increased continuously for 5 sessions with an increase of 33% while AAVE went up for 3 sessions and was sold off and the increase only stopped at 15%.
That is because the reason for AAVE's accumulation has not really exhausted the floating supply during the accumulation process from the ST - AR zone to the spring zone, showing that during the accumulation process, we still see a lot of supply flowing out during the accumulation process (shown in the sell-off session on April 12, June 17) and during the accumulation process, AAVE has not really exhausted the floating supply, showing in the chaotic fluctuations in volume, sometimes increasing and sometimes decreasing, but during the accumulation process of OM, the footprint of the organization is extremely clear when the price approaches the support zone, the volume is almost gone, there is no supply left from the organization selling (showing that there is no session with a large selling volume flowing out).
Second, the organizational behavior of OM is completely superior to AAVE shown in the weekly candle when OM is in the price pushing phase and is approaching the all-time peak to continue breaking out, showing the organization's will to only push the price in this period.
However, the behavior of the AAVE organization in the weekly candlestick pattern is still in the process of collecting goods and has not entered the price pushing phase shown in the overlapping base pattern (ie collecting goods in 2 continuous price zones).
Therefore, although the pattern in the daily candlestick of OM is that OM is in a weaker cash flow mobilization phase than AAVE, which has entered a price push phase, looking at the footprints of the organization in the process of collecting goods, OM is actually clearer to be ready to push the price while AAVE is not ready because the process of collecting goods of AAVE still has too much floating supply, so pushing the price of AAVE will be difficult, causing when it goes up, other organizations that still hold a large amount of AAVE will sell off when they encounter the price zone at the resistance peaks. In addition, when looking at the long term (weekly candlestick), the behavior of the driving team is trying to push the price of OM higher to easily distribute to retailers, but the behavior of AAVE is mainly to continue to collect the floating supply on the market until it is collected (shown in the area of sudden decrease in volume), then the AAVE driving team will really push the price of AAVE, so when it goes up, the organization does not want to continue pushing it up, it will encounter selling pressure from retailers and other driving teams.
So when we want to buy a coin to hold for the long term, we need to evaluate the long term behavior of the organization towards that coin at present. If the organization's behavior is to push the price, then we will have the highest profit. If we catch the bottom in the process of collecting goods of our organization, if it is really accurate, we can still make a profit but it will never be equal to when a coin starts to increase in price in the push phase (although we may not catch the bottom).
All information above is for reference only. If you are passionate about the wickoff method to read organizational behavior in cycles, you can visit my page to read more information!
