Accumulation Corridor

Definition ∞ An accumulation corridor is a specific price range where a digital asset experiences sustained buying activity. This zone indicates concentrated purchasing by market participants, often without significant immediate price appreciation. It suggests a phase where available supply is systematically absorbed, typically preceding a more substantial upward price movement. This period reflects a strategic positioning by investors.
Context ∞ The identification of accumulation corridors serves as a valuable analytical tool for market participants seeking to anticipate significant price movements in digital assets. Understanding these periods helps interpret underlying market sentiment and potential future price trajectories reported in cryptocurrency news. Such zones provide insight into the strategic actions of larger entities within the market.