In the years of navigating the crypto world, I’ve realized that many people actually overlook a pretty important technical pattern— the trumpet pattern. When this pattern appears, it often signals that the market is about to undergo a major shift. If you can catch this signal, your trading opportunities will greatly increase.

What exactly is the trumpet pattern? Simply put, it’s a classic reversal pattern that usually appears when market sentiment is extremely euphoric or panicked. Looking at the price chart, you’ll notice that the highs keep getting refreshed, and the lows are continuously being pushed lower. This gradually widening shape resembles a trumpet, hence the name.

This trumpet pattern has several obvious features worth paying close attention to. First, the price fluctuations will gradually expand, with the upper and lower boundaries continuously widening. A complete trumpet pattern requires at least two higher highs and two lower lows to form. Second, trading volume will also change with the price movements, especially when the price breaks through key levels, often accompanied by a significant increase in volume. This reflects the intense battle between bulls and bears in the market.

The trumpet pattern mainly falls into three scenarios. An ascending trumpet usually appears at the end of an uptrend, and you should be alert here, as it indicates the upward trend may be about to end, with a downward correction possibly following. A descending trumpet is the opposite; if you see it at the end of a downtrend, it’s like a glimmer of dawn in the darkness, hinting that the market might be bottoming out and rebounding. The third type is the symmetrical trumpet, which is more neutral and less directional, meaning it could go either up or down. You need to combine it with other technical indicators to make a proper judgment.

My advice is, when you see the trumpet pattern forming, don’t rush to enter or exit the market. First, observe the changes in volume, then combine other indicators for a comprehensive assessment. This way, you can more accurately grasp the market’s direction. Especially with mainstream coins like BTC and ETH, signals from the trumpet pattern tend to be more obvious. If you’re interested, you can check out related charts on Gate and practice identifying this pattern yourself.