Support and Resistance
Price levels where buying or selling has repeatedly clustered — technical analysis's most fundamental concept.
Support is a price level where buying interest has repeatedly halted declines; resistance is where selling has repeatedly capped advances. They arise from a mix of memory (holders’ cost basis), round numbers, and clustered orders. A level that breaks often flips role — old resistance becoming new support.
They’re the foundation of technical analysis and genuinely useful as a shared framework — but their power is partly self-fulfilling (traders act on the same levels) and they break routinely. Treat them as zones of probable reaction, not walls. In crypto’s thin, 24/7 markets, obvious levels are also prime targets for liquidity grabs that spike through them before reversing.