Looking at ICNT, it has risen by 37% today, which is indeed a number, but my first reaction when staring at the Candlestick is—why has the Trading Volume actually decreased?
Price rises and trading volume shrinks, this trick is old. Generally speaking, this is the first signal that momentum is starting to falter. On the surface, it seems to be surging upwards, but behind the scenes, it might just be that those chips are gradually escaping.
Let's take a closer look at the details: the 1-hour RSI is about to approach 70, indicating it is nearly overbought. However, switching to the 4-hour chart, it shows a downtrend. A small cycle is on fire, but the larger cycle is lagging behind; this kind of divergence is often not a good omen. It may look like a breakout, but it could actually be a case of someone selling dog meat under a sheep's head.
I didn't say it has to come down immediately, but this pattern of rising with decreasing volume makes me very cautious about chasing the long position. When the market is all about FOMO, sometimes sitting tight and observing is actually safer than jumping in.
**The current attitude is: just watch.**
If the price can break through to around 0.55USDT with increased Trading Volume and can stabilize, it's worth considering a light entry. However, if it falls below the recent support line of 0.48USDT, we may need to reassess the short-term upward trend. Until it's confirmed, it's better to miss this wave than to get trapped.
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
14 Likes
Reward
14
3
Repost
Share
Comment
0/400
CountdownToBroke
· 12-23 19:52
A volume-reduced涨停 is just a bluff; I've seen this trick many times, and those who chase rising prices will end up suffering.
View OriginalReply0
SighingCashier
· 12-23 19:51
The decrease in volume while pumping this trap, when flipped, is just dumping, don't let the 37% dazzle you.
View OriginalReply0
PancakeFlippa
· 12-23 19:49
The trick of rising on low volume is really old-fashioned; just wait to see it break 0.48.
Looking at ICNT, it has risen by 37% today, which is indeed a number, but my first reaction when staring at the Candlestick is—why has the Trading Volume actually decreased?
Price rises and trading volume shrinks, this trick is old. Generally speaking, this is the first signal that momentum is starting to falter. On the surface, it seems to be surging upwards, but behind the scenes, it might just be that those chips are gradually escaping.
Let's take a closer look at the details: the 1-hour RSI is about to approach 70, indicating it is nearly overbought. However, switching to the 4-hour chart, it shows a downtrend. A small cycle is on fire, but the larger cycle is lagging behind; this kind of divergence is often not a good omen. It may look like a breakout, but it could actually be a case of someone selling dog meat under a sheep's head.
I didn't say it has to come down immediately, but this pattern of rising with decreasing volume makes me very cautious about chasing the long position. When the market is all about FOMO, sometimes sitting tight and observing is actually safer than jumping in.
**The current attitude is: just watch.**
If the price can break through to around 0.55USDT with increased Trading Volume and can stabilize, it's worth considering a light entry. However, if it falls below the recent support line of 0.48USDT, we may need to reassess the short-term upward trend. Until it's confirmed, it's better to miss this wave than to get trapped.