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Experience sharing from the crypto world over 3000 days
These 6 iron laws of the crypto world, I’ll speak from the heart; if you understand one, you can lose ten thousand less; if you can do three, you have already surpassed 90% of retail investors.
Rule 1: Prices rise quickly and fall slowly; that's the market makers quietly accumulating.
Don't rush to get off the train. A quick surge followed by a slow pullback is not a peak, but a washout. The fear is a rapid drop after a volume surge, that would be a trap for the bulls.
Article 2: It drops quickly and rises slowly, that means the market maker is running away.
The price plummeted and then slowly rebounded. This is not an opportunity to pick up bargains, but the last wave of a trap. Don't hold onto the illusion of "It has already dropped so much, can it still drop?"
Article 3: A large volume at the top doesn't necessarily mean death; it's the lack of volume that is truly dangerous.
If it rises to a high level and there is still sustained volume, it may be able to surge again; but if it reaches a peak and becomes sluggish with no volume, then one should be cautious of a collapse.
Article 4: Don't get excited about volume at the bottom; sustained volume is reliable.
A one-time surge in volume is a bait. What to watch for is a continuous increase in volume over several days, and it should be a surge after a period of reduced volatility; that is the signal for building a position.
Article 5: Trading coins is about trading emotions, and the fluctuations are all reflected in the "volume".
You think you should focus on the K-line, but what you should really focus on is market sentiment. Trading volume is a mirror of consensus; price is just a reflection.
Article 6: "Nothing" is the ultimate realm of the crypto world.
No obsession, able to hold cash; no greed, not chasing highs; no fear, daring to take action. This is not a Zen mindset, but the strongest trading psychological quality.
The market never lacks opportunities; what it lacks is your ability to control your hands and see the situation clearly.
You are not moving fast enough, but rather wandering alone in the dark, forever looping in the night.