Understand these market signals and let the God of Wealth possess you
1️⃣ Sharp rise and slow fall - signal for shipment
When the market price rises rapidly and then turns to a slow fall, it is often the time to ship. The sharp rise attracts a lot of follow-up buying, but the subsequent slow fall shows that buying power is weakening and sellers gradually dominate. Investors should be vigilant at this time, it may be time to ship.
2️⃣ Sharp fall and slow rise - wash characteristics
On the contrary, if the market falls sharply first and then the price begins to rise slowly, it usually means that the market is washing. The sharp fall may cause some investors to panic sell, but the subsequent slow rise shows that market sentiment is stabilizing and buyers are regaining the upper hand. This is a positive signal after the market has experienced a wash.
3️⃣ Large volume but no rise: If the trading volume increases significantly, but the price does not rise, this may indicate the arrival of the market top. At this time, although the market is active, the buyer's power is not enough to push the price up further.
4️⃣ Shrinking volume but no fall: When the trading volume decreases significantly and the price remains stable, this may mean the formation of the market bottom. At this time, the market selling pressure has eased and buyers begin to gain the upper hand.
5️⃣ Large volume rise and fall: When the market volume increases and the price rises synchronously, although the market seems strong, it may foreshadow a subsequent fall. Excessive volume and too fast a rise are often difficult to maintain.
6️⃣ Large volume fall and rebound: When the volume increases and the price falls sharply, it is usually an opportunity for a rebound. Excessive selling may cause the market to oversell, and the subsequent increase in buyer power may trigger a market rebound.#btc#eth#sol$BNB $ETH $USDC
