In the cryptocurrency circle, if you don't even understand the turnover rate, it's not surprising that you lose money. Today I have summarized the six tips for turnover rate, and I will share them with you without reservation. I will tell you what value corresponds to what action.
What is turnover rate? It refers to the ratio of the transaction volume of the currency price or ticket price to the circulating stock capital within a day. To put it bluntly, it tells you how many times the currency has changed hands during this period. We can see the activity of the transaction and the size of the disagreement between the long and short sides through this number.
The circulation of individual coins varies in size. It is hard to tell what the transaction amount is. Therefore, when looking at the transaction volume, in addition to the number of transactions, you have to analyze the turnover rate. For example, what is the turnover rate? At which position is high and which position is low? How long does the high turnover last? The amount, time, and space must all be paid attention to.
For example, when a currency is at a relatively high level, if the transaction volume suddenly surges, the turnover rate will rise, which may mean that the main force is planning a large shipment, and may achieve the goal through counter-trading.
Attention! The turnover rate is not suitable for this type of people - people who insist on value investment. Because they often go against the market when the market is sluggish, the turnover rate will be low for a long time. Secondly, they should pay more attention to the fundamentals, focusing on changes in valuation and earnings, and the turnover rate does not directly affect these fundamentals.
I have compiled the six complete turnover rate tips in graphic form and put them at the end of the article. There are both text explanations and graphic cases. You can collect them and experience them carefully. If you like them, please follow and like them, and forward them to more people of the same path. Thank you for your support~
