What are the key indicators of the distribution phase in the cryptocurrency industry?

1 answers

• Luo-j-xuApr 28, 2023 · 2 years ago
  In the cryptocurrency industry, the distribution phase can be identified by analyzing the trading patterns of different market participants. One key indicator is the increase in sell orders compared to buy orders, which suggests that more investors are looking to sell their holdings. Another indicator is the decrease in the number of new addresses being created, as this indicates a decline in new investors entering the market. Additionally, a decrease in trading volume and a consolidation of price can also be indicators of the distribution phase. It's important to note that these indicators should be used in combination with other technical analysis tools to confirm the presence of the distribution phase.
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