Topic: Introduction to Crypto Technical Analysis - Trade Your Coins Wisely (Read 388 times)

Technical analysis  hmmm, I have seen a lot of people trying to predict price with technical analysis (using historical data to predict the future) they have always failed and it never worked out for them. I don’t really know but it seems like this cryptocurrency is really difficult for anyone to predict, that’s why they keep on deceiving us that the price will reach one hundred thousand dollars next week and when that week comes you will not see anything like that. And if you are going to judge based on historical data, I think there’s a big difference.

I'm going to establish a series that would be helpful towards everyone who is getting into Trading. I also posted this in my blog, so it might be similar or the same content. This could be helpful towards beginners and even the veterans. It could help you refresh your memory or something you may not have encountered. Hoping this could help you guys.

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Introduction to Crypto Technical Analysis

When analyzing cryptocurrencies or any other kind of investment, there are two main ways to perform an analysis

• Fundamental analysis -  aims to assess the value of the cryptocurrency by exploring the underlying metrics of the project to determine if it is a good investment. This involves checking the whitepaper, use cases, project roadmap, the team behind it and other variables.
  
• Technical analysis- follows the set of rules and predictions based on the historical price data in order to predict the future price movements.

We're going to talk about Technical Analysis and the most common things that you need to understand the world of cryptocurrency trading.

Technical analysis (TA) is a methodology for evaluation of investments which involves a statistical analysis of market activity. These are the tools you need in order to have a successful analysis of the price charts. It helps you make educated guesses where possible price movements could go.

• Charting Lines
• Patterns
• Indicators and Oscillators

TA is based on three underlying assumptions:

• Price moves in trends
• The market discounts everything
• History tends to repeat itself

Who is Responsible for Technical Analysis?

Technical Analysis was developed by a large number of contributing individuals, mainly by scholars with knowledge and interest in the economy, finance, and mathematics. A lot of successful traders also contributed, as they dissected the markets from every angle imaginable to gain the upper hand and get the indicators that are clear and easy to use.

An example below is shown


Stochastic RSI gives us information if the market is overbought or oversold.

• Overbought: A situation where the coin is trading above its true value, without any fundamental reasons. For example, if the coin's price is rising without any reason (partnerships, improvements, other events) then it would be wise to sell it, as we can expect a pullback towards its true value.
• Oversold: A situation where an asset is trading below its true value, typically due to panic selling or market overreaction. This is the best time to invest in the coin, as its current price is below its true value.

This is just one of the indicators supported by Gunbot and there are a lot more.

You could take advantage of this knowledge and make it automatic. Have your profits and never miss an opportunity with the market.

Don't hesitate to message me here or in Telegram.

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[1] https://gunbot.ph/introduction-to-crypto-technical-analysis-trade-your-coins-wisely/
[2] https://gunbot.ph/technical-analysis-guide-for-crypto/

Yes they are quite important, but you shouldn’t really trust them, you should still have it in mind that there are still risks in cryptocurrency. Don’t put 100% of your trust in them, cause they can still fail you.

I have used them a lot of times they are not always accurate. If you check the front you should also check the back and be ready for the both sides for whatever that comes out of it. Have it mind that the price might either go the right side or the left and you’re either going to benefit or lose. That’s why this market has risk.

Yes technical analysis are the most important thing for everyone to be successful in cryptocurrency without this college we can not go with the correct flow of current market and if you learn this thing to find what is happening in the future will be little easy for everyone to predict their investment possibly.

Which one u prefer more?

It must be not only one, but works of different experts, professionals. Even if they contradict to each other, you must analyze by yourself all sides

have some ideas on source?

Kinda agree with the author, just want to add that it’s wisely to keep an eye on numerous analytical reports on the market tendencies all time

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It would be nice if you can learn about it and share your opinion about VIX indicators. Previously someone says that it is easy to make money with this indicator but too bad he did not even tell more details about how this indicator works. Waiting for your update about what you learn about this. TY

Never heard of VIX indicator. RSI has been very helpful but it does have to be verified with some other indicators which you have to see whether the fibo correlates with what it shows. As for now, no one yet have show any trading system that works with RSI which is supported by the MAs to help you decide whether to go long and short. But then the real problem with technical analysis is that it doesn't work withe a massive fud from the users.

RSI has been very helpful but it does have to be verified with some other indicators which you have to see whether the fibo correlates with what it shows.

It's my first time hearing the VIX indicators. I did research on it but I think it would take time for me to improve and know any more about it. When I first saw it, I saw the stock VIX. I thought it was already there. Anyway, if I'm correct, it uses a MA of 200 and when it touches 200, it moves in a certain way. I think this is a great resource. I found it here.

https://www.outsiderclub.com/report/how-to-profit-using-the-vix-indicator/956

I'm not sure if that it, but I would research more on that.

VERY GOOD, HAHAHAA SO TRUE  +1

The traders who know how to make money on their own, they don't waste their time selling ebooks when they can make 10x as much just by trading themselves.

Appreciate the guide. Helped me learn some stuff. What is your opinion on VIX indicators op? Some people are claiming that big wigs like Warren Buffet made a lot of money through such indicators though I don't believe it.

What do you think crwth?

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Of course, it helps that you dont run blindly into trades. But with a chance of 50% that a TA is right flipping a coin does this with the same accuracy, too
Dont get me wrong, I believe that TA is a very powerful tool in traditional markets, but from my experience (since early 2015) I dont think it works better than guessing in the crypto space!

In reality, that's just how it works. TA would just improve your chances with predicting the possible movement. It's hard predicting that. It's better than knowing nothing and blindly going in on a trade.