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#数字资产市场动态 After watching the candlestick charts for 3 years, I finally see some patterns—beginners often ask me in my analysis notes why the same candlestick chart shows some people identifying buy points, others identifying sell points, and ending up with huge losses.
Honestly, the candlestick itself doesn't tell you whether the price will go up or down. Its true function is to reflect the psychological activity of funds— in other words, it’s the market makers using price and volume as two blades to "speak."
Trying to accurately predict the market with just a few candlesticks is unreliable. But if you can understand these 3 "hidden signals" in the market, you can at least avoid most deadly mistakes.
**First Signal: Fake Break, True Shakeout**
The price suddenly breaks through a support level you thought was solid, creating a panic atmosphere. Retail traders see their accounts turning green and start to sell off. But if you look closely at the candlestick details—before the close, it inexplicably pulls back. Then, check the volume: during the decline, volume increases; during the rebound, volume decreases. Nine times out of ten, this is the main force using this trick to shake out weak hands. Genuine breakouts are usually not like this.
**Second Signal: Volume-Price Divergence**
The price surges, hitting new highs, but volume shrinks—this is a dangerous sign, indicating the upward momentum is waning, and a correction is likely not far off. Conversely, if during a consolidation phase, volume suddenly increases, it might be smart money quietly building positions.
**Third Signal: Sideways Trading at High Levels**
Bottom sideways trading might be accumulation, but if it occurs at high levels, be cautious. Especially when volume gradually shrinks and the bodies of the candlesticks get smaller, it often means the main force is slowly distributing.
Understanding these signals means you’re no longer a passive victim of being "cut," but an active participant able to "dialogue" with the market. The crypto market moves fast—recognizing these patterns early can help you avoid many pitfalls.