After the decision of the Chinese government to ban mining and cryptocurrency was made public, the market immediately reacted to it by lowering the price. This suggests that any news, positive or negative, affects the price of the cryptocurrency and you can expect a pump or dump accordingly.
Apart from positive and negative news, several factor can affect price, current political condition can also affect price. When we have become a trader, we also have to be prepared with all condition that will affect the price so that we have anticipation when the price drops -10% or more. The best quote here is that we play between price fluctuation and it is our responsibility to be able to anticipate the worst condition.
It's a must that you learn how to use all those news that have impacts inside the market that we are investing with, most of the time
there's good reflections within the news.
Knowing what particular effect that those news brings to entire industry will lead you to anticipate and make a better call for your
investment.