Recently, while analyzing the market, several phenomena are particularly worth paying attention to, as they often reveal the next market direction.
First, observe the performance during an uptrend. When the price pulls back, if trading activity remains high, it indicates that market participation hasn't dropped and the upward trend is likely to continue. However, if the price hits a new high but trading volume shrinks, beware — a top signal is flashing.
Second, pay attention to the accumulation process at the bottom. When the price repeatedly tests lows, don't rush to enter. Watch whether it can test the bottom again and then rebound quickly. Once this reversal pattern is confirmed, it usually presents a good entry point.
Next, look at the performance after breaking support. If the coin suddenly surges from the bottom but is quickly pushed back, there's no need to panic. It's better to wait for it to launch another attack, as that moment is often the real explosion point, with potentially significant gains.
Finally, be cautious of consolidation zones during the upward process. After a price rally, it may start oscillating within a certain range with little fluctuation. This phase may seem stable, but risks are quietly accumulating, and it could be a trap set by the main players to induce buying. Be sure to set proper stop-loss orders to avoid getting caught.
Overall, planning target prices and stop-loss levels before entering the market is the most fundamental and important step to protect your capital. By the way, ZEC has been performing well recently, and keeping up with the trend in such market conditions can help you continue to benefit.
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AirdropSweaterFan
· 10h ago
That's right, volume-price divergence is truly a top indicator for spotting the true top. I've seen too many people get wiped out when the price hits a new high with decreasing volume.
The most insidious part of consolidating ranges is that it looks safe but is actually like stacking gunpowder.
Stop-loss is easy to say but hard to do.
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AirdropHunter007
· 10h ago
Oh no, shrinking trading volume is what I fear the most. That's how I got trapped last time.
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PriceOracleFairy
· 10h ago
volume divergence at ath is lowkey the most underrated trap setter... caught so many people sleeping on this pattern
Reply0
NFTFreezer
· 10h ago
Trading volume shrinks to a new high? You really need to be careful.
Recently, while analyzing the market, several phenomena are particularly worth paying attention to, as they often reveal the next market direction.
First, observe the performance during an uptrend. When the price pulls back, if trading activity remains high, it indicates that market participation hasn't dropped and the upward trend is likely to continue. However, if the price hits a new high but trading volume shrinks, beware — a top signal is flashing.
Second, pay attention to the accumulation process at the bottom. When the price repeatedly tests lows, don't rush to enter. Watch whether it can test the bottom again and then rebound quickly. Once this reversal pattern is confirmed, it usually presents a good entry point.
Next, look at the performance after breaking support. If the coin suddenly surges from the bottom but is quickly pushed back, there's no need to panic. It's better to wait for it to launch another attack, as that moment is often the real explosion point, with potentially significant gains.
Finally, be cautious of consolidation zones during the upward process. After a price rally, it may start oscillating within a certain range with little fluctuation. This phase may seem stable, but risks are quietly accumulating, and it could be a trap set by the main players to induce buying. Be sure to set proper stop-loss orders to avoid getting caught.
Overall, planning target prices and stop-loss levels before entering the market is the most fundamental and important step to protect your capital. By the way, ZEC has been performing well recently, and keeping up with the trend in such market conditions can help you continue to benefit.