"Price Goes Up, Look Up; Price Goes Down, Look Down" – Is That Really a Wind-Driven Mindset?

Many people believe that when prices rise, they look at the upward trend, and when prices fall, they look at the downward trend—this is often seen as a sign of a lack of conviction, following the crowd, or even a “naive” mindset. However, if you have ever directly participated in trading, especially in the crypto or derivatives markets, you will realize: this is not only not wrong but also a very practical and highly valuable principle. The Nature of Trading Is To Follow the Trend Most effective trading strategies are based on a common foundation: trend following. The market doesn’t care what you think, believe, or hope for. The only thing that matters is which direction the price is moving. Ask yourself: Are you willing to buy a coin that is continuously decreasing day by day, with no clear bottom signals? Most people’s answer is no. Because at that point, you are facing an ongoing downtrend—high risk and a high probability of loss. There is a saying: “A gentleman does not stand under a collapsing wall”—trading is the same. When Prices Rebound, Your Mindset Must Also Change But if after a deep decline, the price starts to move sideways, then shows multiple recovery sessions, trading volume improves, and the price structure gradually stabilizes—at this point, you might start thinking: is there a short-term opportunity? This is the practical application of the mindset “buy when the price is rising.” Not because you are blindly optimistic, but because market data is changing. Derivatives Trading Must Be More Flexible In the derivatives market, this principle is even more important. If a coin is in a beautiful uptrend, you expect it to continue rising. But suddenly, a sharp decline occurs, breaking the previous uptrend structure. At that moment, what you need to do is not stubbornly defend your old view but reassess the market: Is the uptrend still valid?Is this a correction or a sign of a top?Should I wait for a rebound to look for shorting opportunities? If you still cling to the idea “it must go up” just because you have seen it rise before, then you are the one pushing yourself into a disadvantageous position. Conversely, a sharp decline followed by a strong rebound is also a signal On the other hand, a prolonged downtrend, but suddenly a strong rally appears, breaking the previous decline—this is also the time to ask: Has the downtrend ended? Is the market creating a bottom? When that rally is strong enough and confirmed, shifting to a mindset of looking for long entries is entirely reasonable. Conclusion “Price drops, look at the drop; price rises, look at the rise” is not about following the crowd but a sign of mature trading thinking: Knowing how to listen to the marketKnowing how to adjust your perspective based on real dataNot being bound by ego or rigid beliefs In trading, the winner is not always the one who is right, but the one who adapts the fastest. The ability to flexibly change perspectives according to price movements—that is the true mark of a genuine trader.