Large volume + long red candle = Big money is exiting, not accumulating. 🔻 1. Strong distribution (Big Player selling off) • High buying pressure (large volume) • But selling pressure is even stronger, pushing the price down sharply • Result: Long red candle + high volume
👉 This indicates that the money is not entering to push the price up, but someone is taking advantage of high liquidity to sell a large amount.
⸻
🔥 2. Long positions are being liquidated (Long Squeeze)
When the price is high: • Many traders are FOMO long • Whales push down strongly • Long positions are liquidated → creating additional selling pressure • Resulting in a very long red candle
Volume increases because: • There are active sellers • And automatic liquidation orders
⸻
📉 3. Loss of trend structure
If previously: • The price was sideways • Or rising weakly
And a: • 20–30% red candle appears • With the highest volume in many days
👉 Usually indicates a break in structure – a short-term trend reversal to downtrend
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$ENSO 📌 A memorable phrase:
Large volume + long red candle = Big money is exiting, not accumulating.
🔻 1. Strong distribution (Big Player selling off)
• High buying pressure (large volume)
• But selling pressure is even stronger, pushing the price down sharply
• Result: Long red candle + high volume
👉 This indicates that the money is not entering to push the price up, but someone is taking advantage of high liquidity to sell a large amount.
⸻
🔥 2. Long positions are being liquidated (Long Squeeze)
When the price is high:
• Many traders are FOMO long
• Whales push down strongly
• Long positions are liquidated → creating additional selling pressure
• Resulting in a very long red candle
Volume increases because:
• There are active sellers
• And automatic liquidation orders
⸻
📉 3. Loss of trend structure
If previously:
• The price was sideways
• Or rising weakly
And a:
• 20–30% red candle appears
• With the highest volume in many days
👉 Usually indicates a break in structure – a short-term trend reversal to downtrend