### A cryptocurrency's value may quadruple or triple in a matter of weeks, only to tumble just as quickly. What's going on? Is there a method to madness? Some analysts believe so. 

A popular method for understanding crypto market volatility and macro movement is to apply the Wyckoff pattern (taken from traditional markets), which maps market movement across four phases:


Phase 1: Accumulation



The first phase of the market cycle is accumulation. During this time, there are very few buyers, and prices remain low. Smart investors use this time to accumulate as much of the cryptocurrency as they can. This is the time when it's best to buy, as prices are low and have nowhere to go but up.



Phase 2: Markup / Uptrend



The second phase is the markup phase. During this phase, the cryptocurrency experiences rapid growth as buyers start to enter the market. Prices surge as demand increases. This is the time when most people start to take notice of the cryptocurrency, and many jump on board, hoping to make a quick profit.



Phase 3: Distribution



During the distribution phase, the cryptocurrency reaches its peak. Prices have reached their highest point, and the market is saturated with buyers. This is when the smart money starts to sell, taking profits and leaving the market. Those who bought in at the start of the cycle are now looking to cash out, and new buyers are left holding the bag.



Phase 4: Decline / Downtrend



Finally, the fourth phase of the cycle is decline. This is when the market experiences a sharp decline as demand dries up, and prices drop rapidly. This is the time when panic sets in, and many investors sell off their holdings, hoping to minimize their losses. However, savvy investors know that this is the time to buy, as prices are low and have nowhere to go but up.



Overall, seeing the market as moving in cycles with four phases might be a helpful instrument for making informed decisions about investments. However, as some have learned the hard way, these rules do not apply equally to all cryptocurrencies. Some crypto projects fall off a price cliff and never recover. 

Please do your own research and understand your risk tolerance before doing anything related to crypto. Best of luck out there!

A cryptocurrency's value can quadruple or triple in a matter of weeks, only to tumble just as quickly. What is going on in those situations? Are there patterns that can help make sense of the volatility?

Thu Mar 16 2023

Does the Crypto Market Have A Pattern - Some Say Yes. Is it a Cheat Code To Better Investing?

Ferrari to Accept Crypto Payments in the US; Plans to Include Europe Underway

Prototype Global Cryptoasset Mapping System Developed

FTX Founder Sam Bankman-Fried Sent to Jail for Alleged Witness Tampering

Huobi Rocked by Reports of Executive Arrests and Accusations of Customer Fund Misuse

Breaking The Chains: Introducing BRC-69, The Bitcoin Standard Without Data Restrictions

Prototype Global Cryptoasset Mapping System Developed

Thu Mar 16 2023 Does the Crypto Market Have A Pattern - Some Say Yes. Is it a Cheat Code To Better Investing?

Ferrari to Accept Crypto Payments in the US; Plans to Include Europe Underway

Prototype Global Cryptoasset Mapping System Developed

FTX Founder Sam Bankman-Fried Sent to Jail for Alleged Witness Tampering

Huobi Rocked by Reports of Executive Arrests and Accusations of Customer Fund Misuse

Breaking The Chains: Introducing BRC-69, The Bitcoin Standard Without Data Restrictions

Prototype Global Cryptoasset Mapping System Developed

Thu Mar 16 2023

Does the Crypto Market Have A Pattern - Some Say Yes. Is it a Cheat Code To Better Investing?