Bull Trap

[Becky666]

Hello Bitcoiners, am a little bit confused whenever I come across Bull Trap; when Bitcoin price start to rise. Is it when Bitcoin price rise without a backed in it volumes? or Bitcoin price rise with a backed in it volumes?.

Also, which of these is suitable when considering investment in Bitcoin?



Purposely made it self moderation thread to avoid signature spam, and to lock whenever i get the clear picture of Bull Trap.

[Becky666]

Hello Bitcoiners, am a little bit confused whenever I come across Bull Trap; when Bitcoin price start to rise. Is it when Bitcoin price rise without a backed in it volumes? or Bitcoin price rise with a backed in it volumes?.

Yes, by community whole planets. It is a decentralized man, how could that be controlled ?

My question gat nothing to do with Planet, nothing to do with decentralized mand and nothing to do with controlled, please stop spamming on this thread thanks.

Also, which of these is suitable when considering investment in Bitcoin?

here you go :

If you don't believe it or don't get it, I don't have the time to try to convince you, sorry.
-Lord Satoshi

Arrant nonsense, who told you i never believe on the technology? maybe i was first to know about the technology before you buddy, and here you are with your rantings.

Whenever you don't know a solution to someone problem please, always keep it low, please!!!!. Believe me buddy this will not count on your post because am deleting right away. Tank u 4 ur tym  
    

  

[leowonderful]

Investopedia has a good definition and explanation of what a bull trap is here. https://www.investopedia.com/terms/b/bulltrap.asp

According to what they say, a bull trap's when the price action reverses after a significant and convincing rally and traders are stuck in their positions as closing them out will result in a loss, thus a 'bull trap'. As for volume, bull traps typically occur on lower volume. You really only have to worry about these in shorter-term trading, if you're going for a medium to longer-term trade or if you're just buying and holding coins these usually aren't a big deal.

[Becky666]

Investopedia has a good definition and explanation of what a bull trap is here. https://www.investopedia.com/terms/b/bulltrap.asp

According to what they say, a bull trap's when the price action reverses after a significant and convincing rally and traders are stuck in their positions as closing them out will result in a loss, thus a 'bull trap'. As for volume, bull traps typically occur on lower volume. You really only have to worry about these in shorter-term trading, if you're going for a medium to longer-term trade or if you're just buying and holding coins these usually aren't a big deal.

Thanks for the insight, i have been practicing trade over sometimes now, and wouldn't like to jump into what will discourage my first attempt for profit. On a clear note; i should be mindful of volumes and not just the surge, or still missing something?


Not having much sMerit on me; i would have done more, thanks.

[leowonderful]

Thanks for the insight, i have been practicing trade over sometimes now, and wouldn't like to jump into what will discourage my first attempt for profit. On a clear note; i should be mindful of volumes and not just the surge, or still missing something?


Not having much sMerit on me; i would have done more, thanks.

No problem! I typically do look at volumes as well as just price rises, surges in price with higher volume typically do not break down as fast as surges with lower volume, but there are always occasionally exceptions like this current run up to $8800 we are currently in, where most of the pumps were relatively low-volume compared to ones before. Keep practicing, you'll become profitable in no time.

[TheHas]

This is a good explanation of how the charts will look in a bull trap scenario. Like was mentioned before, Investopedia has a good explanation of all the standard indicators used in trading.

Keep in mind it is always easier to identify these things in hindsight. Saying 'oh this increase is a bull trap', or the opposite 'this decrease is a bear trap' is mainly just estimating based on technical indicators and chart patterns. It is mainly by reflecting on charts and events that have already occurred that you can say what a particular event or pattern in the chart probably represents.

Judging by the timing of your post, you might be thinking that this current BTC run is a bull trap. This is hard to tell and every trader will have a different opinion. I think BTC will continue to increase over the medium term in fits and starts, so it could pull back from its current gains before making a more sustained push upwards. But again, that's just my assessment and who knows - it could be a bull trap

[Becky666]

~~~
Judging by the timing of your post, you might be thinking that this current BTC run is a bull trap.

  , was just snooping because of my investment and trade.
I had traded many times with profits but this time needed to know more about Bull Trap to gain more profit(minimize loss).

[Thirdspace]

This is a good explanation of how the charts will look in a bull trap scenario.

is it just me seeing things or most bull traps always followed by a "dead cat bounce" pattern?
if it's true, is there a way (signal) to spot this dead cat bounce before it happens?