How to spot accumulation zones after a pump?

GreatArkansas

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Quote from: PercT4b on September 09, 2021, 12:35:19 PM

(....)
It's like micro-accumulation zones are formed after an upward movement, that allows the price to continue its rise; the worst scenario is just a little retracement, so, my question is, are there any indicators or volume patterns that could help to spot such accumulation zones?

For me, this is difficult to spot only by using indicators alone.
Volume indicators and patterns will help me. And identifying the level too of the current price, especially it is above the resistance which just broke recently and that resistance becomes the support and price continue to sideways, I can consider that as accumulation zone.

sana54210

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Quote from: PercT4b on September 09, 2021, 12:35:19 PM

I'm starting to notice that coins, after a strong upward move, do not draw a "pump and dump chart" anymore, like they were doing years ago, instead, they consolidate into a certain price range, and then they could pump even more.

Are you mentioning about bitcoins in particularly or in general about most of the cypto coins? But, I am sure that there cannot be any permanent trend on how a coin is going to be pumped continuously or it is going to be dumped after a pump. Moreover, the fate of a coin is purely dependent on how hot that coin is. If the devs are active and innovative in a manner to convince investors then you may see it getting pumped in intervals.

Quote from: PercT4b on September 09, 2021, 12:35:19 PM

It's like micro-accumulation zones are formed after an upward movement, that allows the price to continue its rise; the worst scenario is just a little retracement, so, my question is, are there any indicators or volume patterns that could help to spot such accumulation zones?

Better have your own target levels like 2x or 5x profits or if you are a short term trader then go for 10% to 40% profits from your initial capital involved in one particular coin rather than taking time on speculating about the future of a coin. Because, nothing could help you on this regard against manipulations.

Quidat

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Quote from: PercT4b on September 09, 2021, 12:35:19 PM

I'm starting to notice that coins, after a strong upward move, do not draw a "pump and dump chart" anymore, like they were doing years ago, instead, they consolidate into a certain price range, and then they could pump even more.

It's like micro-accumulation zones are formed after an upward movement, that allows the price to continue its rise; the worst scenario is just a little retracement, so, my question is, are there any indicators or volume patterns that could help to spot such accumulation zones?

Accumulation zones are usually can be seen after some serious price corrections and a little bit movement of recovery and if tends to stay up on a particular linear pattern for a specific period of time
then you can always presume that this would be an accumulation zone but it wont really be that precise since anytime it could really be just a fake out or just trying to readying up for another
possible big move neither go up or down.Honestly, this had been the hardest time for me to spot out or making out decisions whether i do make a sell or a buy position.
You wouldnt know on what would happen next.

Ararbermas

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Trend line pattern is the most helpful strategy to identify such break out in my personal opinion, in fact i've been using this technique since 2020 and all is accurate, but when it comes long term it's quite skeptical especially if you're using smaller time frame, perhaps it will works well sometimes but you need more indicators to get the real direction of the candles..

LUCKMCFLY

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Quote from: PercT4b on September 09, 2021, 12:35:19 PM

I'm starting to notice that coins, after a strong upward move, do not draw a "pump and dump chart" anymore, like they were doing years ago, instead, they consolidate into a certain price range, and then they could pump even more.

It's like micro-accumulation zones are formed after an upward movement, that allows the price to continue its rise; the worst scenario is just a little retracement, so, my question is, are there any indicators or volume patterns that could help to spot such accumulation zones?

It's simple, because of the zones or liquidity pool, sometimes it is difficult to see them, but there are tools or pages that help you verify the liquidity pools, such is the case of tensorcharts.com, which tells you the volume with purchases and sales represented by their colors, also if you are looking for a platform that is of "Hispanic Origin" they have a platform that the liquidity pools give you, you can search for it by google as PaguerBitcoin, or you can search for it with its creator called: "Aaron Luján", I have not entered for a long time, but I understand that it is free, if you enter and get the liquidity pools there you can benefit from what you want to achieve.

nelson4lov

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Quote from: so98nn on September 09, 2021, 02:26:00 PM

I have noticed this one with cardano. I am not sure if I’m reading your thoughts correct but ADA seems to behave like this a lot of times now. It is nicely pumping all the time even though we had a crash a day ago. Then also ADA is standing clear and moving upwards with just little down trend (your micro accumulation zone). Obviously i am speaking about ADA because I am focusing on that trade these days but this change can be observed on many other coins too.

This could only be spotted by undertaking the bolinger band for getting the next candle stick move. The data might not be very promising in the volatile environment but it should at least predict the desired pump.

In my opinion... It's not just ADA but Solana. A quick look at the historical charts shows that from the point that solana left the $0.2 zone, it hasn't returned back there ever since. What happened is that it always accumulated after every retrace from an ATH or a higher high. It happened at $20 sub levels and even at $50. Noticed the same with $100 and $150 levels. If bitcoin doesn't flash crash, solana eill likely continue on this path.

Ziskinberg

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Quote from: PercT4b on September 09, 2021, 12:35:19 PM

I'm starting to notice that coins, after a strong upward move, do not draw a "pump and dump chart" anymore, like they were doing years ago, instead, they consolidate into a certain price range, and then they could pump even more.

It's like micro-accumulation zones are formed after an upward movement, that allows the price to continue its rise; the worst scenario is just a little retracement, so, my question is, are there any indicators or volume patterns that could help to spot such accumulation zones?

You can't really be sure what really happens in the market and of how many years you've been observing the market, you can't still assure that the trend will go that way. To spot the accumulation zone is a way challenging for us but for me, I'd started to accumulate coins when it started to pump as possible that it continue to increase. But the problem is that we are not in 24 hours sitting in front of our computer that mostly we missed them.

Bitcoin_Arena

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Quote from: john_nautica on September 11, 2021, 12:48:23 AM

This is quite a good topic what I know was after a pump the good accumulation zone was the previous resistance I just want to ask if that was right? I see on the post of Bitcoin_Arena that those are some good indicators but I think it's only for premium subscribers but I think that's a really helpful indicators.

There are some scripts that are free that can do exactly the same job. Head over to indicators and strategies and search for "Poor man's volume profile"
Detail about it - https://www.tradingview.com/v/IWdpl712/

More volume profile scripts - https://www.tradingview.com/scripts/volumeprofile/

Also Fixed Range volume profile can be got for free if you go to tool panel on the left side of your chart.

tvplus006

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Quote from: PercT4b on September 09, 2021, 12:35:19 PM

I'm starting to notice that coins, after a strong upward move, do not draw a "pump and dump chart" anymore, like they were doing years ago, instead, they consolidate into a certain price range, and then they could pump even more...

After a coin exceeds its ATH, it is no longer possible to guess to what level its price can reach. But in any case, you can notice at what levels the demand for the coin becomes lower than the supply. At such levels, it is necessary to fix the profit by selling part of the coins and set the stop loss higher, so that in case of a reset you do not lose profit.

death69

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It is hard to spot an accumulation for a long term but I can find some similar pattern:

This pattern hardly appear on big time frame (D1 or more) but often appear within smaller time frame. I use this technique on a lot of pair but mostly on the highest volume trading pair (excluding bitcoin and ethereum). Most of the time, they work, unless bitcoin makes some noise and start to destroy everything. Volume is also an import issue relating to the pattern. There will be many false signal (false break) and volume will help you a lot in sorting them

john_nautica

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This is quite a good topic what I know was after a pump the good accumulation zone was the previous resistance I just want to ask if that was right? I see on the post of Bitcoin_Arena that those are some good indicators but I think it's only for premium subscribers but I think that's a really helpful indicators.

Bitcoin_Arena

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Volume is a very good resource for determining those levels or price ranges. Tradingview has those scripts but are only available for paid subscription which means they are superb tools

There's;
1. Fixed Range volume profile
2. Visible Range volume profile
3. Session volume
4. Session Volume HD

Try reading about how they work

Example

The area with the highest activity over the period of 4 days is that point with a red line. Take note how the candles react when they reach that line

Mahanton

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Quote from: hugeblack on September 10, 2021, 08:22:53 AM

Not all currencies are like this, but the patterns of pumping and dumping do not mean that they occur within a day or a month, as it may need several weeks and even a few months.
Bump/Dump model is pure speculations.

The problem is that most of the money that enters into those currencies is centralized, and therefore most of it will be withdrawn at one time, and thus the rapid collapse of the currency price and the difficulty of its return again.

You are right on where you cant really able to tell if there would be some guaranteed pumps after a dip or correction which it could neither be heading up or even go more low and talking about
ways on how to know then it is something that no one could know but somehow we can really make out some presumptions basing on technicals that we could used and this is where
the guessing game begins whether those analysis that we had done might be effective or not.Everything is random and cant be known thats why dont anticipate or hope too much.

teosanru

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Quote from: PercT4b on September 10, 2021, 02:40:44 AM

Quote from: teosanru on September 09, 2021, 03:01:58 PM

Quote from: PercT4b on September 09, 2021, 12:35:19 PM

I'm starting to notice that coins, after a strong upward move, do not draw a "pump and dump chart" anymore, like they were doing years ago, instead, they consolidate into a certain price range, and then they could pump even more.

It's like micro-accumulation zones are formed after an upward movement, that allows the price to continue its rise; the worst scenario is just a little retracement, so, my question is, are there any indicators or volume patterns that could help to spot such accumulation zones?

The best tool we have is fib retracement, at least I have gained a lot of success using this. First way is to trace the area on a smaller time frame where price took a hiccup to break, by hiccup I mean even during a strong pump there were red candles in smaller time frames, this zone is generally the zones where a lot of sellers were present earlier, now draw a fib retracement tool from the breakout to the top, notice the .38 or 0.5 areas try to find these supports or hiccup points near those areas and place your orders there, generally these zones act as micro accumulation zones after an upward movement.

Which timeframe do you usually use?

To see such sudden breaks you will have to use either an hour time frame or sometimes if the move is quite new you can even use 30m time frame to see some red candles, any other bigger timeframe than this would always be big green candles only, look for at least 2-3 red candles or very small green candles which imply that bulls weren't strong around that area and many people took profit around it, but yes do keep a good stop loss even when you accumulate in these areas because no matter what you sometimes might feel you are stuck in a pump and dump scenario.

hugeblack

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Not all currencies are like this, but the patterns of pumping and dumping do not mean that they occur within a day or a month, as it may need several weeks and even a few months.
Bump/Dump model is pure speculations.

The problem is that most of the money that enters into those currencies is centralized, and therefore most of it will be withdrawn at one time, and thus the rapid collapse of the currency price and the difficulty of its return again.

PercT4b

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Quote from: teosanru on September 09, 2021, 03:01:58 PM

Quote from: PercT4b on September 09, 2021, 12:35:19 PM

I'm starting to notice that coins, after a strong upward move, do not draw a "pump and dump chart" anymore, like they were doing years ago, instead, they consolidate into a certain price range, and then they could pump even more.

It's like micro-accumulation zones are formed after an upward movement, that allows the price to continue its rise; the worst scenario is just a little retracement, so, my question is, are there any indicators or volume patterns that could help to spot such accumulation zones?

The best tool we have is fib retracement, at least I have gained a lot of success using this. First way is to trace the area on a smaller time frame where price took a hiccup to break, by hiccup I mean even during a strong pump there were red candles in smaller time frames, this zone is generally the zones where a lot of sellers were present earlier, now draw a fib retracement tool from the breakout to the top, notice the .38 or 0.5 areas try to find these supports or hiccup points near those areas and place your orders there, generally these zones act as micro accumulation zones after an upward movement.

Which timeframe do you usually use?

seleme

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The liquidity is the short answer, market price keep looking for pressure from either side. Accumulation points are the warzones to find which side has more interest, instead of simply pump/dump price discovery happens.

teosanru

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Quote from: PercT4b on September 09, 2021, 12:35:19 PM

I'm starting to notice that coins, after a strong upward move, do not draw a "pump and dump chart" anymore, like they were doing years ago, instead, they consolidate into a certain price range, and then they could pump even more.

It's like micro-accumulation zones are formed after an upward movement, that allows the price to continue its rise; the worst scenario is just a little retracement, so, my question is, are there any indicators or volume patterns that could help to spot such accumulation zones?

The best tool we have is fib retracement, at least I have gained a lot of success using this. First way is to trace the area on a smaller time frame where price took a hiccup to break, by hiccup I mean even during a strong pump there were red candles in smaller time frames, this zone is generally the zones where a lot of sellers were present earlier, now draw a fib retracement tool from the breakout to the top, notice the .38 or 0.5 areas try to find these supports or hiccup points near those areas and place your orders there, generally these zones act as micro accumulation zones after an upward movement.

stomachgrowls

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Quote from: PercT4b on September 09, 2021, 12:35:19 PM

I'm starting to notice that coins, after a strong upward move, do not draw a "pump and dump chart" anymore, like they were doing years ago, instead, they consolidate into a certain price range, and then they could pump even more.

It's like micro-accumulation zones are formed after an upward movement, that allows the price to continue its rise; the worst scenario is just a little retracement, so, my question is, are there any indicators or volume patterns that could help to spot such accumulation zones?

https://www.youtube.com/watch?v=muYbMkfLqFY
https://www.youtube.com/watch?v=Jl9_nwCxy8k

These vids might be helpful but since this one is talking about forex but it might be applicable(but not work most of the time) but its not bad for you to apply
it into your trades.

milewilda

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Quote from: PercT4b on September 09, 2021, 12:35:19 PM

It's like micro-accumulation zones are formed after an upward movement, that allows the price to continue its rise; the worst scenario is just a little retracement, so, my question is, are there any indicators or volume patterns that could help to spot such accumulation zones?

There's no other way but rather do stick out with Technical analysis and theres no way that someone could able to predict on what would be the bottom which this had been always the main question.
Not all are pumps and dumps which means after a certain rally then there would be some retracement unless if there are some news or sentiments then price movement could really even
go even way more lower but if thats not the case then you would really be having a hard time.

so98nn

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I have noticed this one with cardano. I am not sure if I’m reading your thoughts correct but ADA seems to behave like this a lot of times now. It is nicely pumping all the time even though we had a crash a day ago. Then also ADA is standing clear and moving upwards with just little down trend (your micro accumulation zone). Obviously i am speaking about ADA because I am focusing on that trade these days but this change can be observed on many other coins too.

This could only be spotted by undertaking the bolinger band for getting the next candle stick move. The data might not be very promising in the volatile environment but it should at least predict the desired pump.

palle11

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Quote from: PercT4b on September 09, 2021, 12:35:19 PM

It's like micro-accumulation zones are formed after an upward movement, that allows the price to continue its rise; the worst scenario is just a little retracement, so, my question is, are there any indicators or volume patterns that could help to spot such accumulation zones?

It is more as you are going to study the waves movement for what you are asking for. The waves like Elliott can direct you or price action to have a clue to what is happening in the market for you to prepare your mind either for a breakout or continued ranging.

PercT4b

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I'm starting to notice that coins, after a strong upward move, do not draw a "pump and dump chart" anymore, like they were doing years ago, instead, they consolidate into a certain price range, and then they could pump even more.

It's like micro-accumulation zones are formed after an upward movement, that allows the price to continue its rise; the worst scenario is just a little retracement, so, my question is, are there any indicators or volume patterns that could help to spot such accumulation zones?

Topic: How to spot accumulation zones after a pump? (Read 174 times)