I’ve noticed that many beginners on Kryptomarkt overlook the most fundamental skill: reading trends correctly. And that’s really critical, because if you understand whether the market is currently bullisch or bärisch, you save yourself an enormous amount of money.

The thing is — trends have a mind of their own. Once a direction has been established, it mostly stays in that direction until something bigger breaks it. That’s why you need to know how to tell bullisch and bärisch phases apart and when a change is about to happen.

My first tip: Always start with the higher timeframes. No matter what happens in the 4H or 1H chart — in the end, it follows the direction of the Weekly or Daily. It’s like waves in the ocean: the big waves determine the direction, and the small waves are just noise. The best timeframes are Daily and Weekly charts. That’s how you work the safest.

How do you recognize a bullisch trend? Quite simply: the price continuously forms higher highs and higher lows. That’s your green light. You can see it clearly on the charts too — as long as the price doesn’t break any of the earlier lows, the uptrend is still intact. That’s your confirmation to stay optimistic.

Now for practice: Where do you enter? This is where it gets interesting. The price never goes up in a straight line. There are always pullbacks. On the higher timeframes, it sometimes looks like nothing more than consolidation, but on the lower timeframes you might see a 30-percent pullback. If the price then falls into the Key-Zone of the higher timeframe — meaning the previous higher low — that’s where you can look for your entry. The target would then be new highs.

The bearish side works exactly the other way around. Lower highs and lower lows = bärisch trend. If you want to short, you use the same logic: wait until the lower timeframe gives you a move into the upper high zone of the higher timeframe. That’s where you look for your short trigger, and the target is new lows.

But this is where most traders lose their money: during trend reversals. No trend lasts forever. And this is where you see the classic mistakes. People who were pessimistic and can’t accept that the trend is now bullisch — they keep shorting. And the optimists who don’t want to admit that the wind has changed — they keep buying even when prices fall.

How do you recognize a trend reversal? With the same strategy you already know. When an uptrend breaks, the price falls below the higher low. That’s your signal: a shift from bullisch to neutral or bärisch. Some traders take their profits there, while others open short positions — depending on how you want to trade.

Conversely: if, during a bärisch trend, the price breaks above the lower highs, that’s your sign that the trend is shifting from bärisch to bullisch.

The golden rule is simple: Be bullisch when the trend is bullisch. Be bärisch when the trend is bärisch. And when the trend changes, change your stance as well. This is really the foundation for surviving long-term and becoming a successful trader. Everything else is just noise.