After 8 years in the cryptocurrency circle,
#ETH initially jumped in with tens of thousands of dollars, and now relies on trading cryptocurrencies to support a family! It is no exaggeration to say that I have explored 90% of the methods and techniques in the market. If you want to develop cryptocurrency trading into a second career to support your family, then it’s worth listening and watching more. You might discover new paths beyond your current understanding, and at least it can save you years of wandering on the wrong path!
#VHTO How to determine if a cryptocurrency has formed a breakthrough? You can analyze it from four aspects: volume, price, time, and space. First, let's talk about volume. "Before the army moves, supplies must go first." When a trend just starts to emerge, volume is essential. Especially when there’s a sudden increase in volume after a long period of consolidation, this needs to be closely monitored. However, don’t rush to enter at this point; generally wait for a test of the market and a completion of the main force's adjustment. The second increase in volume is when the real opportunity arises. Next, look at the price, mainly focusing on the closing price. No matter how turbulent the process is, if the closing price can stabilize, it indicates that the main force is indeed ready to take action, which is crucial for distinguishing between real and false breakthroughs. Simply put, if the closing price is above the pressure level, the possibility of a true breakthrough significantly increases. Then there’s time; before a breakthrough, the cryptocurrency price should have experienced a long period of reduced volume consolidation, lasting over 3 months, and the concentration of chips should be less than 10%. For such cryptocurrencies, the main force’s accumulation is sufficient, and the subsequent increase will have strong explosive power. Finally, regarding space, you need to identify the key pressure levels. This pressure level could be the starting point of previous volume adjustments, the neckline of a W bottom or head-and-shoulders bottom, or a round number in the cryptocurrency price. Once the pressure level is clearly defined, you will have an idea of the potential price increase once it breaks through.
These four dimensions are the basis for judging horizontal breakthroughs. To help everyone understand more thoroughly, I, Lao Jiu, have decided to share some of my treasured trading notes that I personally wrote over the years. Each summary is a crystallization of countless nights of reviewing my trades. If after reading this article you still feel confused, have not made money trading contracts, or cannot find direction, you are always welcome to reach out to me. I don’t do the prophecy thing; I rely only on reviewing, judgment, and execution; I also don’t sell dreams, just share the path I’ve walked.