My series is a sequence of knowledge, guys, please read each article one by one for the best results. If you haven't read article 2, check it below: Article 2: RSI DIVERGENCE
Have you ever felt:
Price has been ranging for a long time
Volume keeps getting smaller
News is quiet
👉 And you're wondering:
"This coin has lost its momentum or is about to pump?"#injective
The answer lies in VOLUME
1️⃣ What is Volume Drying Up?
Volume drying up = trading volume gradually decreasing over time.
📌 This shows:
Sellers no longer want to sell cheaply
Buyers are waiting for the right moment
The market enters a consolidation state
👉 The longer the consolidation → the stronger the breakout.
🟢 2️⃣ Volume dries up during ACCUMULATION phase
Signs of accumulation:
Price moves sideways within a narrow range
Volume gradually decreases, no sudden spikes
Each time price drops → volume does not increase
👉 Meaning:
Selling pressure is weak, shares are gradually absorbed.
📌 This is the stage:
Patient traders are accumulating
Impatient traders quit
🔴 3️⃣ Volume dries up during DISTRIBUTION phase
Sounds strange, but distribution can also have low volume.
Signs:
Price in the high range
Each time price increases → volume weakens
Each time price decreases → volume increases
👉 Meaning:
Big players are selling slowly, not wanting to crash the price immediately.
📌 Key difference
Accumulation: price drops without volume
Distribution: price drops with volume
⚠️ 4️⃣ Fatal mistake when looking at volume
❌ Seeing low volume → think the coin is 'dead'
❌ Only looking at volume on a small timeframe
❌ Don't compare with past volume
📌 Always ask:
How does current volume compare to previous levels?
Does it appear at the bottom or the top?
What do 4H – Daily – Weekly timeframes indicate?#Ethereum
🧠 5️⃣ How I use volume (real trading)
I use volume for:
Recognizing accumulation vs distribution
Avoid buying when price rises but volume is weak
Prepare to take partial profits when volume spikes
📌 Unusually large volume is often a sign of the final wave.
Wishing you all success#BTC走势分析
