If you are just getting started in the world of cryptocurrencies, here are some crucial trading strategies to keep in mind:
1. Focus on buying on dips rather than during steep rises, as sales should align with peak market conditions.
2. Gradual and steady gains indicate sustainable growth, while rapid increases often signal an imminent exit opportunity.
3. After a steep rise, wait for a pullback – avoid excessive buying when prices fall too steeply.
4. When prices accelerate sharply, it is usually a sign that a top is approaching – sell fast during sudden drops, but take your time when gains are slow.
5. A steep drop without increased trading volume can be misleading, while slow declines with increasing volume suggest it is time to exit.
6. If the price crosses key support levels, don't hesitate to take advantage of short-term price swings.
7. Pay attention to daily and monthly trends and follow major players when establishing positions.
8. If prices rise without an increase in volume, it is usually a tactic to attract buyers; don't fall into the trap.
9. A new low on low volume can indicate that the market has bottomed, so consider entering when the bounce shows signs of strength.
If you master these techniques, you will be better prepared to navigate the volatility of the cryptocurrency markets.
Best of luck 🍀
