{"id":4196,"date":"2024-11-09T14:17:49","date_gmt":"2024-11-09T14:17:49","guid":{"rendered":"https:\/\/cryptoproguide.com\/%d1%82%d0%b5%d1%85%d0%bd%d0%b8%d1%87%d0%b5%d1%81%d0%ba%d0%b8%d0%b9-%d0%b0%d0%bd%d0%b0%d0%bb%d0%b8%d0%b7-%d0%ba%d1%80%d0%b8%d0%bf%d1%82%d0%be%d0%b2%d0%b0%d0%bb%d1%8e%d1%82-%d0%b4%d0%bb%d1%8f-%d0%bd\/"},"modified":"2024-12-19T13:11:28","modified_gmt":"2024-12-19T13:11:28","slug":"technical-analysis-of-cryptocurrencies-for-beginners","status":"publish","type":"post","link":"https:\/\/cryptoproguide.com\/ro\/technical-analysis-of-cryptocurrencies-for-beginners\/","title":{"rendered":"Technical analysis of cryptocurrencies for beginners"},"content":{"rendered":"
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Traders can predict future digital coin rates by studying past price movements. Technical analysis is based on the idea that history repeats itself. Guided by the methodology, it is possible to determine likely market entry and exit points using indicators, trading lines and trading volume data. This material will reveal the basics of technical analysis of cryptocurrencies for beginners. Knowing the rules and patterns by which the market works allows you to make money on changes in coin rates without evaluating protocols and tracking news.<\/p>\n
This method is considered one of the key to profitable trading in financial markets. Traders make predictions of price movements by analyzing past asset charts.<\/p>\n
The basic postulate of technical analysis states: in similar situations, market participants perform the same actions.<\/p>\n
They are controlled by emotions – fear, panic, greed, euphoria. Knowing these peculiarities, we can guess how events will develop in the future. Such tools are used in technical analysis:<\/p>\n
Technical analysis originated long before the emergence of cryptocurrencies. It was first used to predict rice prices in Asia in the 18th century. Japanese trader Homma Munehisa used it to look for patterns of rate movements on candlestick charts. Contributors to the formation of thechanalysis also included:<\/p>\n
Beginning traders may think that cryptocurrencies move chaotically. But supporters of technical analysis believe that it is possible to find patterns on the charts and predict the future direction of quotes. The movements on financial markets help to predict the study of crowd psychology. The main idea is that in similar conditions traders behave the same way under the control of emotions.<\/p>\n
To apply techanalysis it is not necessary to take into account the news or the fundamental of the asset. It is believed that all factors that can influence the rate are already embedded in the price.<\/p>\n
Proponents of the method can build a model of the asset movement, determine the entry and exit points of the position. Then the news will be released, which will serve as a trigger for the execution of the forecast.<\/p>\n
There are 2 categories of participants in the market: sellers and buyers. With the help of forecasting tools, you can determine who is stronger in a particular period and take a profitable position. The main goals of cryptocurrency techanalysis are:<\/p>\n
Market participants use different algorithms to search for patterns and collect statistics on the probability of their working out. You can use one method or combine 2-3. There are several types of technical analysis of cryptocurrencies with unique methods and approaches:<\/p>\n
Unlike other ways of predicting money markets, this methodology allows you to determine the levels for entering a transaction, a clear direction of the rate and the size of take profit. Technical analysis of cryptocurrency charts does not give a 100% probability of fulfillment of the forecast.<\/p>\n
Sometimes the market goes against the trader’s position, but most trades are closed in the plus. Therefore, with clear adherence to the strategy and competent risk management, you can get a stable income.<\/p>\n
Market events are repeated. They may differ, but the general pattern of movement is preserved. Patterns do not depend on the coin or timeframe. Therefore, the methodology can be used for short-term trading of any assets and investments.<\/p>\n
This postulate is based on the psychology of the crowd. Crypto market participants react to events in a similar way under the influence of emotions. Therefore, all possible scenarios are already present on the charts. It is only necessary to identify patterns and enter the transaction when a signal appears. Understanding the principles of the same reaction of market participants allows you to make more informed decisions when conducting transactions with cryptocurrencies.<\/p>\n
Quotes of cryptoassets fluctuate according to the trend. But the trend is not seen as a straight line, it contains a series of consecutive minimums and maximums. Price movement can be divided into 3 types:<\/p>\n
The key to success in trading is the correct identification of the prevailing trend and timely response to the change of direction. The easiest way to trade on the trend. Even with an inaccurate entry, the deal will close in the plus. With competent risk management you can earn in sideways trends.<\/p>\n
Followers of technical analysis of cryptocurrencies do not track parameters that can affect the quotes of digital assets:<\/p>\n
The price is considered to take everything into account. Therefore, the rate is set at a fair level relative to the combination of these factors and the future expectations of investors.<\/p>\n
The trader’s task is to identify patterns in the movement of rates, test them on history and develop risk management. When creating a trading system on the technical analysis of cryptocurrency charts, you should follow these rules:<\/p>\n
The chart of cryptocurrencies consists of periods, each of which is displayed in the form of bars or candles. The timeframe is used for convenient perception of information. The most popular periods can be seen in the table.<\/p>\n
Timeframes<\/strong><\/th>\nExplica\u021bie<\/strong><\/th>\n<\/tr>\n<\/tbody>\n\n | Varieties of price charts<\/h2>\nThe exchange terminal allows you to display cryptocurrency quotes in different ways. You can track changes at any point in time from the listing of the coin. Each point on the chart is a trading period. The user can get such information:<\/p>\n
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