In the cryptocurrency market, choosing the right trading strategy and time frame is crucial. Here are some practical trading suggestions:

For day traders, it is recommended to pay attention to the 5-minute and 10-minute charts, and analyze them in conjunction with recent trends. Short-term traders can refer to the 1-hour and 2-hour charts, typically holding positions for 1 to 3 days, following the daily trend. Medium-term investors should focus on the 12-hour and daily charts, with holding periods possibly exceeding two weeks.

It is worth noting that in certain special circumstances, different time periods may resonate. At this time, investors can use the 1-hour chart for stop-loss while grasping the daily trend, which may lead to significant profits.

When the market becomes uncertain, observing changes in liquidity may provide valuable insights. If market liquidity begins to decrease, it may indicate a reduction in the frequency of short-term trading and position building, suggesting that the market may face downward pressure. Throughout the history of the cryptocurrency market, we can find that the prosperity of each bull market is closely related to short-term trading and speculative activities.

This liquidity analysis method is particularly suitable for investors who prefer long-term holding strategies. By closely monitoring changes in market liquidity, they can better grasp overall market trends and provide references for long-term investment decisions.

Regardless of the strategy adopted, investors should bear in mind that the cryptocurrency market is highly volatile, and risks must be managed carefully, with a suitable trading plan developed according to individual risk tolerance and investment goals.