The recent market trend indeed tests people's resolve. Experienced traders in the crypto space know that the key is not how much you can earn, but how long you can survive. Here are six most practical trading rules for a sluggish market, for everyone's reference.
First, understand when to get involved. Buying during sideways consolidation and pullbacks is correct; straight-line surges are often traps set by the main players. True opportunities are hidden in those oscillations and deep dips—don't be fooled by superficial rises.
The speed of the increase also indicates the situation. Markets that rise slowly and steadily are the real upward waves. Sudden and sharp increases are risky—large coins like $BTC and $XRP are especially prone to false signals, which can lead to a quick slap in the face.
The process of shaking out (washout) must be experienced. After a surge, a pullback is inevitable. Without this washout phase, the rally won't go far. This is a market rule—ignoring it can lead to being trapped.
Pay close attention to the downward patterns. A sharp decline with low trading volume is often used to scare traders by the main players; conversely, if the decline is slow but volume is increasing, be alert—this indicates someone is actually offloading. Mid-cap coins like $XMR tend to show this more clearly.
Bottom signals often appear. When decreasing volume hits new lows, that could be the bottom; once volume increases and the trend reverses, it's time to follow. Volume leads price—don't wait until the entire market reacts before taking action.
Finally, discipline during the upward phase is crucial. If a rally lacks trading volume support, the main players can turn against you at any time. Rising without volume indicates poor chip stability and high risk.
In the end, these rules are meant to help you avoid pitfalls, not to encourage you to go all-in. Surviving is always the top priority in this market. Only by staying alive can you have the chance to see the next cycle.
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SilentAlpha
· 01-15 19:11
Here we go again, feels like I've heard this before haha
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RektRecorder
· 01-15 16:52
Another "How Not to Die" textbook, truly a classic.
But honestly, the part about shakeouts is pretty well explained. Many beginners fall for this—seeing a rally, they want to chase, only to be trapped for months before realizing.
It's that volume preceding price pattern that I still have some reservations about. I've been fooled by it more than once...
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PaperHandsCriminal
· 01-14 04:04
Haha, it's the same theory again. I understand it all but just can't do it... Every time I see sideways movement and get itchy, I chase the rally and get trapped😅
No matter how correct it is, I'm still that fool who stares at the shrinking volume at new lows and just can't wait.
Honestly, I agree with the point about being alive, but the premise is to survive this wave first...
Bro, this article is right, but I've been hearing the same problem for three years, so why am I still losing money?
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MoonBoi42
· 01-13 13:20
Another old cliché, but it really hits the point—being alive is the most important thing.
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A steady rise is the real rise. I agree with this; I've seen too many straight-line surges turn into a feast of cutting leeks.
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"Volume precedes price" is worth getting a tattoo of. Only after being trapped do you understand what a lesson is.
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An increase with no volume? That’s just the main force absorbing your chips. Don’t be naive.
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The most feared situation is a sharp decline with high volume. Just look at the trading volume and you'll know it's a dump. Why didn't I see it at the time?
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A shakeout is necessary. Without a shakeout, the trend can't go far—this is an iron law.
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Consolidation is the real opportunity. Everyone, don’t always think about chasing high; that’s all a trap.
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GateUser-a5fa8bd0
· 01-12 19:52
That's right, being alive is the most important thing. Those who went all-in haven't made it this far.
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A gradual rise is truly genuine. I’ve taken hits during that surge, the tuition was too expensive.
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Regarding volume, I really don’t pay attention to rising without volume now; it’s too risky.
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A shakeout is necessary. Without a shakeout, I would have seen that surge as just a trap to lure more in, I’m scared now.
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I agree with the bottom signal theory, but how many can really catch the bottom? Anyway, it’s not me.
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I now avoid straight-line surges. I didn’t follow the last BTC spike, but surviving is earning.
View OriginalReply0
MissedTheBoat
· 01-12 19:51
A new low with decreased volume is the true bottom; there's nothing wrong with that statement.
View OriginalReply0
GasWaster69
· 01-12 19:50
It's the same old story, I'm tired of hearing it haha
View OriginalReply0
MevWhisperer
· 01-12 19:40
Living longer really hits the point, it's more practical than anything else.
No matter how eloquently you speak, it can't compare to going all-in and losing everything; you really need to think about how to survive until the next bull run.
I've seen countless surges in trading volume, and every time, it's only after a wave of cutting losses that I feel at ease.
View OriginalReply0
0xSherlock
· 01-12 19:36
Living is more important than making money, there's nothing wrong with that statement, I just haven't learned how.
View OriginalReply0
SignatureVerifier
· 01-12 19:34
technically speaking, volume validation is critical here but... the whole "avoid the trap" framework assumes market participants actually behave rationally, which statistically improbable imo. seen too many traders get liquidated following these exact "rules"
The recent market trend indeed tests people's resolve. Experienced traders in the crypto space know that the key is not how much you can earn, but how long you can survive. Here are six most practical trading rules for a sluggish market, for everyone's reference.
First, understand when to get involved. Buying during sideways consolidation and pullbacks is correct; straight-line surges are often traps set by the main players. True opportunities are hidden in those oscillations and deep dips—don't be fooled by superficial rises.
The speed of the increase also indicates the situation. Markets that rise slowly and steadily are the real upward waves. Sudden and sharp increases are risky—large coins like $BTC and $XRP are especially prone to false signals, which can lead to a quick slap in the face.
The process of shaking out (washout) must be experienced. After a surge, a pullback is inevitable. Without this washout phase, the rally won't go far. This is a market rule—ignoring it can lead to being trapped.
Pay close attention to the downward patterns. A sharp decline with low trading volume is often used to scare traders by the main players; conversely, if the decline is slow but volume is increasing, be alert—this indicates someone is actually offloading. Mid-cap coins like $XMR tend to show this more clearly.
Bottom signals often appear. When decreasing volume hits new lows, that could be the bottom; once volume increases and the trend reverses, it's time to follow. Volume leads price—don't wait until the entire market reacts before taking action.
Finally, discipline during the upward phase is crucial. If a rally lacks trading volume support, the main players can turn against you at any time. Rising without volume indicates poor chip stability and high risk.
In the end, these rules are meant to help you avoid pitfalls, not to encourage you to go all-in. Surviving is always the top priority in this market. Only by staying alive can you have the chance to see the next cycle.