The coin with ID $STG just surged 44% today, but its 24-hour trading volume is only around 30M USDT. It looks impressive, but it might not be a genuine breakout. These low liquidity coins allow whales to pump them with relatively little capital. Retail traders see the rise and FOMO in, while the whales see the FOMO and start unloading – this script plays out in the market every day.
With coin ID $PHB crashing over 70%, caution is even more critical. A massive drop is usually not a coincidence; it's often due to liquidity disappearing or major players retreating. Many people want to catch the falling knife when they see a big drop, but if the buying pressure can’t hold, what’s considered the bottom will just keep sinking lower.
Right now, the Fear & Greed index is at 12, indicating extreme fear in the market. There is indeed a chance for a short-term rebound, but that doesn’t mean all coins will bounce back. Coins with no trading volume or capital interest might not catch a break even if the broader market rallies.
The signals I've seen today are pretty straightforward: don’t chase pumps, and don’t randomly try to catch bottoms.
For coins like STG that spike sharply, chasing in might have you at the top of a mountain in just two days; for coins like PHB that have crashed, trying to catch a bottom could lead to another halving. What’s most valuable in the market right now isn’t courage, but patience.
If you absolutely must trade:
• Avoid touching coins that fluctuate more than 15%
• Remember to set stop losses on your positions
• Cash (USDT) is more valuable than your positions right now
Wait for the Fear & Greed index to rise above 30, or for coin ID $BTC to break through key resistance with volume before considering entering the market; it’s not too late.
The market is always here, opportunities are always present, but your capital is limited.
With coin ID $PHB crashing over 70%, caution is even more critical. A massive drop is usually not a coincidence; it's often due to liquidity disappearing or major players retreating. Many people want to catch the falling knife when they see a big drop, but if the buying pressure can’t hold, what’s considered the bottom will just keep sinking lower.
Right now, the Fear & Greed index is at 12, indicating extreme fear in the market. There is indeed a chance for a short-term rebound, but that doesn’t mean all coins will bounce back. Coins with no trading volume or capital interest might not catch a break even if the broader market rallies.
The signals I've seen today are pretty straightforward: don’t chase pumps, and don’t randomly try to catch bottoms.
For coins like STG that spike sharply, chasing in might have you at the top of a mountain in just two days; for coins like PHB that have crashed, trying to catch a bottom could lead to another halving. What’s most valuable in the market right now isn’t courage, but patience.
If you absolutely must trade:
• Avoid touching coins that fluctuate more than 15%
• Remember to set stop losses on your positions
• Cash (USDT) is more valuable than your positions right now
Wait for the Fear & Greed index to rise above 30, or for coin ID $BTC to break through key resistance with volume before considering entering the market; it’s not too late.
The market is always here, opportunities are always present, but your capital is limited.