These are the practical rules I’ve accumulated through my experience in the crypto world. There are no complicated theories, but they can help you avoid most traps, understand how to avoid losing 100,000 with one mistake, and truly surpass 90% of retail investors by mastering just three key points.
**Fast rise and slow decline is a sign of accumulation**. When the price quickly surges and then begins a slow pullback, this is not a top but a sign that the market maker is shaking out and accumulating. Hold firmly. However, if the price surges rapidly with high volume and then crashes suddenly, this is a typical trap to lure in buyers. You must exit immediately—there’s no need to hesitate.
**Slow rise and quick fall indicates market maker withdrawal**. When the price crashes suddenly and then slowly rebounds, don’t think it’s a bargain. This is often the last wave of manipulation. Don’t hold onto the hope that “it can’t fall much further,” or you’ll just become the bag holder.
**High volume at high levels doesn’t mean death**. If the price reaches a high and continues to see high volume, there’s still room to push higher. Conversely, the most dangerous situation is a dead market at high levels with no volume, indicating funds are quietly leaving. In this case, reducing your position quickly is the right move.
**Single large volume at the bottom is unreliable**. A few days of high volume at low levels are mostly bait and not worth chasing. The real signal of genuine accumulation is a period of low volume followed by several days of increasing volume, which indicates true building of positions. This gives a higher probability of success when entering.
**Volume reflects the true market sentiment**. Ultimately, trading cryptocurrencies is about trading emotions. Don’t just look at candlestick charts; volume is the real indicator of market sentiment. Price is just surface data; the underlying consensus of funds is the true logic behind price movements.
**The highest state is the word "nothing"**. Without attachment, you can calmly hold cash and wait for opportunities; without greed, you won’t chase high blindly; without fear, you can decisively act when opportunities arise. This is not about being Zen or passive, but about maintaining a core mindset for long-term profitability.
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TestnetScholar
· 16h ago
I've heard the "fast rise and slow fall" approach many times, but the key is whether it is truly executed properly. Most people fall into the trap of greed.
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CompoundPersonality
· 16h ago
It sounds good, but in actual operation, it's still easy to be driven by emotions.
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TooScaredToSell
· 16h ago
To be honest, the last character "none" really hit me, but the reality is I can never do it... It's always either greed or fear choosing between the two.
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DuckFluff
· 16h ago
It's the same old story again: quick rise and slow fall, slow rise and quick fall. The explanation is quite clear, but when it comes to execution, the mind goes blank, and it's still easy to get caught.
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ILCollector
· 16h ago
That's a pretty good point, but it's just too hard to verify in actual practice. Just understanding the phrase "slow rise, quick fall" has already caused me to lose a wave.
These are the practical rules I’ve accumulated through my experience in the crypto world. There are no complicated theories, but they can help you avoid most traps, understand how to avoid losing 100,000 with one mistake, and truly surpass 90% of retail investors by mastering just three key points.
**Fast rise and slow decline is a sign of accumulation**. When the price quickly surges and then begins a slow pullback, this is not a top but a sign that the market maker is shaking out and accumulating. Hold firmly. However, if the price surges rapidly with high volume and then crashes suddenly, this is a typical trap to lure in buyers. You must exit immediately—there’s no need to hesitate.
**Slow rise and quick fall indicates market maker withdrawal**. When the price crashes suddenly and then slowly rebounds, don’t think it’s a bargain. This is often the last wave of manipulation. Don’t hold onto the hope that “it can’t fall much further,” or you’ll just become the bag holder.
**High volume at high levels doesn’t mean death**. If the price reaches a high and continues to see high volume, there’s still room to push higher. Conversely, the most dangerous situation is a dead market at high levels with no volume, indicating funds are quietly leaving. In this case, reducing your position quickly is the right move.
**Single large volume at the bottom is unreliable**. A few days of high volume at low levels are mostly bait and not worth chasing. The real signal of genuine accumulation is a period of low volume followed by several days of increasing volume, which indicates true building of positions. This gives a higher probability of success when entering.
**Volume reflects the true market sentiment**. Ultimately, trading cryptocurrencies is about trading emotions. Don’t just look at candlestick charts; volume is the real indicator of market sentiment. Price is just surface data; the underlying consensus of funds is the true logic behind price movements.
**The highest state is the word "nothing"**. Without attachment, you can calmly hold cash and wait for opportunities; without greed, you won’t chase high blindly; without fear, you can decisively act when opportunities arise. This is not about being Zen or passive, but about maintaining a core mindset for long-term profitability.