$EIGEN ｜5-minute volume surged 9.2x｜Price rose 1.35%
Before talking about capital flows, let's first understand trading volume.
Unusual volume can show up before price movements, so many people treat a sudden surge in volume as a signal to pay attention to a coin. The direction, however, is something the candlesticks have to reveal.
Don't chase a coin just because of the multiple. Volatility is usually at its highest when volume surges, so using less leverage is the safer approach.
Don't place an order at the fastest point of a move. Wait for the candlestick to close and settle before taking another look.
Just my personal opinion—take it with a grain of salt. This isn't advice.
Before talking about capital flows, let's first understand trading volume.
Unusual volume can show up before price movements, so many people treat a sudden surge in volume as a signal to pay attention to a coin. The direction, however, is something the candlesticks have to reveal.
Don't chase a coin just because of the multiple. Volatility is usually at its highest when volume surges, so using less leverage is the safer approach.
Don't place an order at the fastest point of a move. Wait for the candlestick to close and settle before taking another look.
Just my personal opinion—take it with a grain of salt. This isn't advice.