Interpretation of cryptocurrency market on Dec 1 2022

The Nasdaq jumped 4% with Powell's speech last night. The crypto market also rose collectively. But the overall strength could be stronger. It is still one previous rise away from breaking out of the oscillator range. So there is no need to make a right-side buy operation yet.

Another concern is that the recent volume is still on the small side. Although the volume is not generally used as a basis for operation, for the breakout market, the volume is beneficial in improving the winning rate. The higher the volume, the greater the resistance overcome during the rise. The upward force is absolutely dominant if the positive entity is also relatively large. Especially in the current environment of poor depth and liquidity, if the volume can cooperate, the chances of winning the operation on the right side will be much higher.

In all, if you encounter a volume breakout, participating must do. And the stop-loss level can be set relatively aggressively. Try to keep the position down—conversely, only the breakout without volume. Again, you still have to participate, but the stop loss should be smaller.