How a token moves often isn’t determined by its “fundamentals,” but by who holds it.
During an uptrend, there aren’t many low-cost holders selling to drive the price down, but above, every price level is crowded with trapped positions. When the rebound reaches key levels, it runs into sell pressure from those looking to get out.
Understanding this is far more useful than just watching TVL and fees.
During an uptrend, there aren’t many low-cost holders selling to drive the price down, but above, every price level is crowded with trapped positions. When the rebound reaches key levels, it runs into sell pressure from those looking to get out.
Understanding this is far more useful than just watching TVL and fees.