In the cryptocurrency market, there are two key indicators that may suggest the high potential of a certain token has diminished. First, if a coin has already experienced explosive growth, it usually means the likelihood of achieving a similar increase in the short term is low. Second, when a token has already been listed for trading on mainstream exchanges, it often indicates that it has entered a relatively mature stage.



Taking some recently popular tokens as an example, once they exhibit the characteristics mentioned above, it usually indicates that they have reached a certain market equilibrium state. In this case, the probability of a significant price increase will be significantly reduced. This is primarily because the target market is already close to saturation, while the trading environment is filled with a large number of short-term traders and automated trading programs.

It is worth noting that under these market conditions, large capital operators usually avoid making large-scale increases in such cryptocurrencies. The reason is that the market liquidity and depth are already quite sufficient at this time; forcing an increase not only makes it difficult to profit but may also lead to losses.

For investors, understanding the dynamics of this market is crucial. It reminds us to be more cautious when selecting investment targets, paying attention not only to the fundamentals of the cryptocurrency but also fully considering its historical market performance and current trading status. In searching for potential high-return opportunities, it may be necessary to focus on emerging tokens that have not yet experienced explosive growth and are not yet listed on mainstream exchanges.

However, this does not mean that tokens that have been listed or have previously surged in value have completely lost their investment value. On the contrary, these tokens may be more suitable for adopting different investment strategies, such as long-term holding or swing trading. The key lies in formulating corresponding investment strategies based on the characteristics and market position of each token.
View Original
post-image
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.
  • Reward
  • 8
  • Repost
  • Share
Comment
0/400
ser_we_are_ngmivip
· 08-16 06:34
Newcomers in the Dark Forest? The game has just begun!
View OriginalReply0
tokenomics_truthervip
· 08-14 20:15
Steady, new suckers are getting on board.
View OriginalReply0
NestedFoxvip
· 08-13 08:50
Underrated games only have big profits.
View OriginalReply0
ShibaOnTheRunvip
· 08-13 08:45
The funds are all Be Played for Suckers.
View OriginalReply0
LayerZeroEnjoyervip
· 08-13 08:44
New leeks love to find the top, right~
View OriginalReply0
CryptoWageSlavevip
· 08-13 08:28
The old coins are not performing well.
View OriginalReply0
DevChivevip
· 08-13 08:26
Lost again...
View OriginalReply0
ser_we_are_earlyvip
· 08-13 08:23
Isn't swing trading nice?
View OriginalReply0
Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate app
Community
English
  • 简体中文
  • English
  • Tiếng Việt
  • 繁體中文
  • Español
  • Русский
  • Français (Afrique)
  • Português (Portugal)
  • Bahasa Indonesia
  • 日本語
  • بالعربية
  • Українська
  • Português (Brasil)