đšMillions of dollars in liquidations in a single hour and a great lessonđ
In the past few hours, the Crypto market experienced a moment of extremely high volatility, in which millions of dollars were liquidated from over-leveraged traders.
These movements are frequent when there is a lot of liquidity in the market. They constitute what we call market traps:
A large movement in one direction, which generates a wave of fomo or panic, which pushes traders to open positions hastily; minutes later, the market turns around, leaving those who wanted to "get ahead" of the movement trapped.
That is why in every analysis and in an almost tedious way, I keep saying that you should wait for the closing of the day in 4 hours before making a decision.
Look at the chart of the 3 main coins $BTC $ETH and $BNB
All 3 had a price explosion, many opened positions. Moments later the price was absorbed, leaving a huge wick. Then the price resumed its movement, loaded with liquidity and with a free passage, liquidating the others.
Crypto Citizen says goodbye! Every day you can learn something, and today we understood why we must wait for the close of the day to open a trade. Do not let the market play with your emotions
