Identify areas in the charts where demand exceeds supply, increasing the price (demand zone), or where supply suppresses demand, decreasing the price (supply areas). Most supply and demand traders wait for prices to enter these areas where most buying and selling takes place before entering a long or short position. What happens if demand exceeds supply? If supply and demand both increase, an increase in supply will lower the price and an increase in demand will raise the price. If the effect of the increase in supply is greater than the effect of the increase in demand, the price will fall. If the effect of the increase in demand is large, the price increases.
Little by little I’ve learned to understand the price trend. I’ll go at my own pace, without rushing, learning more about trading every day, with dedication, discipline, and always making some time for it.
Postscript: I recommend reading John Murphy’s book Technical Analysis of the Financial Markets. It’s really very good—I'm still reading it.
$ETH Today the cryptocurrency market shows a clear risk predisposition, driven by the strength of large-cap assets and tokens linked to artificial intelligence, while capital appears to be rotating out of some recent memecoin niches and low-liquidity segments. #Square
BTC remains firm near the center of market attention, ETH is outperforming the market in terms of relative strength, and several altcoin sectors with higher beta are seeing wider intraday swings as volume increases.
The key theme today is a selective rotation, not a uniform rebound: higher-quality large-cap cryptocurrencies and narrative-driven sectors are attracting flows, while assets with weaker momentum are lagging behind or reversing.