What does it mean to insert a needle into the currency circle? What are the effects of inserting needles into the sky?

"Pin in the sky" is a term often mentioned in the cryptocurrency market, describing the phenomenon of cryptocurrency prices rising rapidly and then suddenly falling. This price pattern resembles a vertical bar, like a needle stuck in the ground. Bullying is often caused by market speculation and excessive leverage, and can have a significant impact on investors and the cryptocurrency market as a whole.

What does it mean to insert a needle into the currency circle?

The sky-inserting needle refers to a sudden sharp rise in price in the virtual currency trading market, forming a vertical or nearly vertical positive line, like a needle reaching into the sky, penetrating all resistance levels above. .

What are the effects of inserting needles into the sky?

The emergence of needles inserted into the sky will have the following effects on the currency market:

1. Market sentiment is excited: Pins inserted into the sky often indicate extremely optimistic market sentiment performance, investors frantically chased the rise, causing prices to soar rapidly.

2. Attract new investors: News about the needle will attract new investors to the market, who hope to seize the opportunity of rising prices, which further drives up demand.

3. Selling at profit: The emergence of the sky needle may also cause investors who entered the market early to sell at profit in order to lock in profits, which will put pressure on the upward trend. .

4. Price fall: Pin-to-the-sky increases are often unsustainable because rapid price increases will run out of funds, causing the market to turn back.

5. Technical adjustment: After the needle is inserted into the sky, the market usually needs to undergo a period of technical adjustment to digest the pressure caused by the rapid rise.

6. Psychological impact: The needle inserted in the sky will have an impact on the psychology of investors. When optimism is high, people are easy to chase the rise, and when pessimism is strong, people are prone to panic selling. .

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