Over the years of trading in the crypto space, the deepest insight I’ve gained can be summarized in one sentence: market sentiment is more valuable than the price itself.

In ten years, I’ve seen countless manic rallies and crashes, and I’ve also been swallowed by FOMO, losing profits. What truly changed my trading destiny wasn’t some magical indicator, but learning how to hold the trade button during the most extreme moments in the market. Today, I want to discuss two patterns—高潮反转 (Euphoria Reversal) and 末端旗形 (Terminal Flag)—these two have saved me many times.

**The Moment the Market Loses Control: Euphoria Reversal**

Have you ever seen those crazy moments with ETH or Bitcoin? The price doesn’t just rise slowly; it suddenly surges like being hit with steroids, shooting straight up, with candlestick charts becoming terrifyingly steep. That’s a sign that a euphoria reversal is imminent.

Essentially, this is the trend singing its last song. When several strong candles appear in a row, with increasing slope, the market has already fallen into extreme greed—or in other words, extreme fear. Beginners are most likely to be hit by FOMO at this point, chasing the rally and selling at the bottom. But you must know that the big institutions and major players, the ones making real money, are quietly pressing the sell button the moment you chase in.

Retail traders chasing highs at their strongest are often the market’s weakest point. When the fuel runs out, the rocket naturally falls back down.

**The key is how to operate at this moment**

If you’re in a trending market and see the price accelerating at this almost crazy speed, be alert. It’s not about immediately reversing your position, but about considering reducing your holdings or taking profits. The safest-looking moments are often the riskiest. I once failed to recognize this signal and watched a 500% profit shrink to 50% in just two days.

Conversely, if you’re in a bear market and see the price falling sharply and rapidly, the same logic applies—euphoria reversal occurs during a decline, indicating a possible rebound.

**What can the Terminal Flag tell you**

Compared to the “explosive” feeling of euphoria reversal, the terminal flag is like the market doing its final test. You’ll see a strong trend followed by a consolidation phase, where the price oscillates within a narrow range. This platform is what’s called a flag pattern.

Why is it called the terminal? Because it usually appears in the final stage of a trend. Participants who haven’t exited yet hesitate and watch here, and institutions are also doing their final chip consolidation. After the flag completes, it’s often the last confirmation of the direction—either a breakout upward continuing the rally or a breakdown below support leading to a complete reversal.

Many people get trapped here. They don’t understand the meaning of the flag pattern, thinking it’s a continuation signal, only to be caught off guard by a reverse breakout. Or they simply don’t notice the flag pattern until after the breakout has already happened.

**Understanding these two patterns means reading the market’s expression**

This isn’t a foolproof formula. The market is always more complex than you imagine. But if you can calmly reduce your position when a euphoria reversal appears, and be mentally prepared when a terminal flag shows up, you can at least save yourself from the most dangerous situations. That’s enough. Often, trading isn’t about how much you make, but how much you avoid losing.

The most important lesson in ten years is: emotions can deceive your eyes, but patterns cannot. Learning to read the market’s “emotional expressions” through this methodology is more valuable than anything else.