why is it difficult to apply TA on altcoins with low marketcap - page 3.

jrrsparkles

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Quote from: caffu chino on October 23, 2021, 09:16:23 AM

Quote from: vv181 on October 23, 2021, 07:15:06 AM

How low is low? You didn't name the altcoin and the market cap.

not too low, more or less a coin with a marketcap of $100M and a trading volume of $10M. one of them Banana(apeswap) #368 on coinmarketcap. I made an analysis for this coin a few weeks ago. At that time I saw the price had reached the resistance point, and I bought it. but so far the price has not gone up.

TA will not work all the time, infact if you apply different indicator you will also get different results compared to your previous analysis so understand that price not only move based on market movements it depends on different factors like news, manipulation,etc.

caffu chino

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Quote from: vv181 on October 23, 2021, 07:15:06 AM

How low is low? You didn't name the altcoin and the market cap.

not too low, more or less a coin with a marketcap of $100M and a trading volume of $10M. one of them Banana(apeswap) #368 on coinmarketcap. I made an analysis for this coin a few weeks ago. At that time I saw the price had reached the resistance point, and I bought it. but so far the price has not gone up.

vv181

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How low is low? You didn't name the altcoin and the market cap. Also, you better move this thread to the Trading Discussions board, I believe you will have a more insightful opinion on there.

Anyway, since I didn't know how low the market cap is nor the knowledge of technical analysis, IMO, it's worth the attention to inspecting the fundamental analysis on low market cap coin, it's way better if you want to risk your funds on a barely known--since its has low cap and volume--cryptocurrency.

caffu chino

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some time ago I bought an altcoin which has a low marketcap and trading volume. I bought after analyzing using technical indicators. After a while I realized something was wrong. it should be if based on my analysis the coin I bought has entered an oversold period and the price should have started to reverse. but in fact it never happened. the price may go up, but it doesn't last long and it goes back down. then I also bought another altcoin which is almost the same. and again, I also experienced the same thing even though in the end I got profit thanks to long-term hold.

Then I started thinking and wondering, why is it difficult to apply technical analysis to coins with low market caps. unlike bitcoin and other major altcoins whose movements are still predictable. Altcoins with low market caps are difficult and even impossible to predict. whether this is all related to manipulation or there are other reasons that make it difficult to predict.

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