🐋 $BTC broke below 81,000.
Large numbers of orders tend to cluster around round-number levels, so let’s first talk about why key price levels matter.
Large numbers of stop-loss orders tend to cluster around these levels. Once the price moves past one, those stops are triggered all at once, and volatility can suddenly spike.
It’s common for the price to move past a level and then retreat, so many people prefer to wait for the candle to close for confirmation rather than chasing the price the moment it breaks through.
Don’t chase the market at its most volatile moment. Wait for the price to settle before deciding.
#BTC
Large numbers of orders tend to cluster around round-number levels, so let’s first talk about why key price levels matter.
Large numbers of stop-loss orders tend to cluster around these levels. Once the price moves past one, those stops are triggered all at once, and volatility can suddenly spike.
It’s common for the price to move past a level and then retreat, so many people prefer to wait for the candle to close for confirmation rather than chasing the price the moment it breaks through.
Don’t chase the market at its most volatile moment. Wait for the price to settle before deciding.
#BTC