Start with the trigger

Identify the first confirmed catalyst: a macro data release, ETF outflow day, liquidation cascade, exchange incident, regulatory headline, or broad risk-off move.

Check the numbers

Look at price, volume, open interest, liquidations, funding, ETF flows, dollar strength, Treasury yields, and exchange inflows before assigning one simple explanation.

What to watch next

The follow-up matters more than the first candle. Watch whether spot buyers return, ETF flows stabilize, leverage rebuilds, and support levels hold on high volume.

LeverageOpen interest, funding, liquidation clusters
Institutional demandSpot ETF flows and issuer updates
MacroDollar, yields, equity risk appetite, Fed expectations