hello steemian a lot of time spend i actually introduce something special for you but , now a time to do that's so , there is no power to told us the future time , but the hope so expectation where the price will came and up and down in market where the bull and beer enter the market they fight each other and who win the game of gamble , its all depend on the future prediction of coin market . it is most important the right prediction and what is the expectation and hope the in the back power of believe . this is the place where i invest , and then we r expecting huge profit but the other side of image we actually gamble with on our luck. and then our believe break in mint and our expectation will came zero . so what is the route cause of this game . ''THE SPACE OF FEAR AND GREED''. so these factor who really impact our trade , we grand in which. so when we predict with proper analysis so both of the side we are 80% right . there are two forces who drive the market is supply and demand ,if we understand these two forces and then everything will be clear and hopefully .this would be comprised of by multiple variables like today , past, and future demand and supply and any regulations that impact to our crypto market.the crypto market is one of the largest and most liquid markets, the movements on a chart from the price action generally gives clues about hidden and secret levels of supply and demand. Other patterned behavior such as which currencies or token are trending the strongest can be obtained by reviewing the price movement who come with chart analysis technique . price nor move randomly and not move with our prayer . market moves with their discipline ,trend and flow of money ,where the flow is short and where is a lot . so market makes trend who follow is and see in the chart . there r two term actually ,short and long term . i can analyze by with their trend , is the tren is short or long . so i can say ''THE TREND IS OUR FRIEND''. so never ever follow the market blindly, without trend ,sometime we can see the price of bitcoin is in pressed and some time long trend ,so its make sense. the come to the main today topic .the analysis of crypto market how to predict in right way and earn a lot , thats will come true with better analysis and expert opinion
so there are two main analysis in crypto market
- TECHNICAL ANALYSIS ( historical market data, volume & charting )
- FUNDAMENTAL ANALYSIS (financial statement & economic variables of assets
TECHNICAL ANALYSIS :
Technical Analysis describes the analyzing historic price data and volume trends to predict the future price movements of assets and its value. And utilize price charts and other indicators to identify the patterns that can be used as a basis for assets investment decisions. the main methodology behind the technical analysis is history ,who repeat itself , therefore the majority of trader and analyst who follow technical tools , indicators and price action strategies to analyze market trend . the technical Analysis of crypto doesn’t analyze the fundamentals of an assets it is around charting and using technical indicators to better predict the likelihood of long terms and short & medium terms and trends based on historic data and current price of market and volume data.technical analysis is nothing without fundamental analysis , so both are their value and impact in market .in technical analysis a lot of thing in which, but in short i will describe some of these here in chart analysis , we actually see the market behavior with some of popular tools as such as
- charts analysis( price action)
A) trend lines
B) support and resistance
C) supply and demand
D) volume
E) technical indicator
so , i am describing in short about these term who i introduce you above
trend line:
trend lines explain simply market trend , with '' high '' low'' higher high '' '' and lower low ''
where i insert trend line tools to found out the market trend for bullish trend , trend line will be drawn below the price with low , lower low if two or three low touching trend line so indicates the bullish trend , and the other side bearish trend is will be reverse , so strong bearish trend will be appear when trend line touch high lower high vice versa , market swing like ladder base and bounce and repeat the trend when bear will come see clearly in examples
see another example for more clarification
support and Resistance:
trend lines is most non skippable part of analysis S&R drive the main push to market and indicate the big investor footprint ,that where to enter and where to exit.support is actually market point where smart money want to exit and manipulate the market with high and resistance zone , where smart money exit the order of buy and change the market behavior to bearish and manipulate the herd to exit from buy entry .so there are also horizontal lines that express levels of support and resistance. By identifying the values of these specific levels, we can draw easily conclusions about the current supply and demand of the crypto coin.
supply and demand:
supply and demand is same like support and resistance term .so we can say supply as support and demand as resistance .i think demand as the number of people willing to buy the their favorite coin, and this number depends a lot thing many other factor and change based on them. the main reason is usually speculation reason, simply expecting the price to rise or fall due to big big news, pumps,... then there is also usability just like using bitcoin as store of value, use it to buy stuff and shopping ,. the supply relates to this and then determines the price and its action is that when there is more crypto coins than there is buyers the price continues going down.
see supply zone in fig
demond zone on chart
volume:
volume is most arguably and the most important metric for a cryptocurrency market, due to the amount of ways it can be broken down with time interval and rise with supply came in the market . in volume side you can easily infer the direction and movements of a coin. It’s an essential metric for the crypto traders. you can easily check moment details about ts up and down on CoinMarketCap by the last 24 hours, what is happened in week and also check monthly volume easily . therefore This helps us reveal if a coin’s recent swings are an aberration or other norm.
E) Statistical indicator & oscillator:
Crypto indicators are used by technical analysts ,that use to help interpret price action data and generate tradable buy and sell signals easily. According to me indicators based upon mathematical calculation of price chart and such as market average movements and volume prediction with the help of indicators. We can easily indicate price with over oversold or overbought station of market.with the help of technical indicators. these section we review some of the most popular Forex indicators to give you an overview of what crypto market conditions,they are most suitable for crypto market . Each indicator series comes with an example strategy to get you started. Learn crypto trading with the help of technical popular indicators. Some indicators so I am using to analyze market is so common , so want to tell you most important thing here don't use to much indicators on your chart because, too much indicators is useless. It is confused to prediction right direction because indicator is not give us 100% correct data. All he indicator those I am using are lagging , it's all depends upon market environment & movements . first market move and then indicators calculate mathematical ratio or percentage, or levels , that's show out the market next movement
So friend I am introduce you some of most popular indicators here so use it and her the advantage
A) RSI
B) Moving average
C) Volume
D) Macd
I am explaining these in shortly so it is helpful to analysis
RSI :
RSI is a momentum oscillator which can be ability to measures the speed and change of price , this indicator is used by traders to get an idea of whether an instrument is overbought or oversold ed and change of price movements. The RSI oscillates between zero and 100. There are four level ,who mostly use is 80,70,20,30 . Traditionally the RSI is considered overbought when above 70 and oversold when below 30. RSI above 70 or 80 considerable Too much coin is bought and not more sold out which can be indicate us some awesome prediction. When something will happen Rsi above 70 is or 80 to sell zone and seek for sell entry. Therefore Below 30 or 20 considerable too much sold zone and it's reverse to overnight .when price reach these level we can see easily that price action of market Make support and resistance on chart . RSI mostly use for divergence also then the price and Rsi will be against each other and divergence will come see in chart
oversold zone here
overbought zone here see
Moving average:
moving average is a widely used in technical analysis that helps smooth out price action by filtering out the “noise” from random price fluctuations. It is totally lagging base indicator and move after price market movement .but we can expect with MA around 60% accuracy .so it is huge to predict . The two basic and commonly used moving averages are the simple moving average (SMA), which is the simple average of a security over a defined number of time periods, and the exponential moving average (EMA), which gives greater weight to more recent prices. So I actually moving average is trend indicator , it can easily determine support and resistance levels. While moving averages are useful enough on their own, they also form the basis for other technical indicators but is too useful tool to predict market movement. My favorite moving average is 50 , 100 150 who I mostly use it in chart ,it can also indicate support and resistance level
for more clarification see another fig
Volume:
Volume is an famous indicator which depicts the amount. that an instrument was traded over a period of time by time .volume indicate all market data in bars by bar . And each bar saying something special to us for market direction.To confirm the validity of a chart pattern. Chart patterns typically have a volume profile which, if met, renders the completion and success of the pattern more likely . If I’m trading a chart pattern, I check the volume profile to gauge how confident I should be that it will play out as expected. See in chart for more clarification
MACD:
MACD meant by Moving Average is a trend following indicator. It is used to identify new trends in the markets, and confirm that they are bearish or bullish. The slope of MACD indicates the direction of the trend.It is a lagging indicator. I as usual I said above discussion it is used to confirm the direction of price movement, and also used for convergence & divergence oscillator, Like RSI oscillator . I don't use Macd so I doesn't explain too much it see in below chart
So let's talk about second most important analysis of crypto market
i can also trade with divergence strategy check out in chart
FUNDAMENTAL ANALYSIS:
(News & POLITICAL statement)
Fundamental analysis is a strategy of evaluating an asset in an attempt to measure its intrinsic value, with examining related economic, financial and other qualitative and quantitative factors. It is imperative that everyone in the crypto community have realistic expectations, strategies and goals for the long term adoption of cryptocurrencies .The good news is that cryptocurrencies tend to react to various political and economic news the way you would expect from them . If Everything was so simple as described above fundamental analysis would be used by all traders.
The main factors those involved in crypto trading to analysis the market According to these some facts we can easily analyze crypto market , if we keep in sight these point to analyze market we will be the always win.
News & POLITICAL statement:
The media is one of the most effective and strong knife, its manipulate the public. News feeds are able to instill panic and fear & greed in a mass manner, as well as discipline euphoria. its direct impact of news on the crypto market is perfectly illustrated by the high-profile events in the world. last year we see chinese ban Icu its create a panic between the community and its attitude led to the collapse of the bitcoin price — from 15000 to 7000 dollar market price . so this is the most important and highly impact the coin market movement . always avoid to trade between these big big events when came . pine your profit and enjoy the moment .
Coin technology
Coin usage & supply
Minable or not
Team beyond the coin
Roadmap 6) Price in USD
Social advertisement
Daily volume
Coin technology:
First thing to assume , the purpose of coin and it's strength of goal .these thing who really motivated trader to trade in coin ,such like a platform like steemit and ethereum , who actually most successful coin in the market The coins that have huge growth and chance to succeed and potential are always based on some really cool technical innovations that help people solve significant issues and problems This is the first thing you need to look at. Study the white paper of the coin is must important you’ve selected to find out what technology stands behind it and if it offers anything innovative.
Coin usage & supply:
it is most important thing to analyze coin development and progress .that how much coin used for its initial purpose and how much coin for its speculation . how much coin is being holed by its team and CEO and what is supply . what is the bigger is the number of transaction ,it's actually proceed the coin to top ranking and its trustworthy . in September 2017 the most popular coin have following transaction such as RIPPLE --700000 and BITCOIN --- 220000 and the ETHEREUM --- 40000 its can predict the future of currency
Mining or token:
if the coin is min-able that is great thing actually , like bitcoin and ethereum and other most popular coin . if the coin is not min-able or token it can be manipulated easily its price fluctuate and like pump and dump coin , then in that's theory it means that at at any tie a huge amount of coins can be thrown out the crypto coin nd the price drop automatically .so the fact is most of crypto currency is holed by wheal or miner around 80% so that's great to predict easily which currency is most of favorite in trader or min-able or not
Team:
the project developer and its team is mostly important to stability of coin in market .always check its expert advisor team membre who invited us to purchase the coin . so important is project passion and its experience of crypto field so what other project have they taken in and where these project are successful or not yet
Roadmap:
SO road map is also important tool in crypto market it is also predict the stability of coin in market and its base . if the team follow its future plan and features they planned to add are implemented according to its future events and commitment . so road map is also another tool to predict the coin image
Volume :
volume is most important in prediction of coin we can clearly see in coinmarket.com today volume of bitcoin is 4 billion dollar but last year i can see it touch to the 18 billion dollar . that is huge volume in last year most of investor blindly make market spike due to smart money enter in market and herd fool by smart money .
Social advertisement & activities :
This is another market symbol to expect best response to our favorite coin . a lot of social platform who allow ICU advertisement and is popularity ad .like Facebook, YouTube and other social media site . we can see the people who behind coin and its developer and programmer . if we are check in about public discussion about coin reputation and its developer community relationship . so we can check its community strength and platform response.
Final thoughts
so trader be careful and always stay tune about big news events and political statement about cryptocurrency . always do proper analysis before investment . because forex and crypto is psychology game and most of decision we make on our emotion . thats is best advantage goes to big trade like banks and hedge fund and investor . crypto is high liquidity risk and around 90% of the day trader fail in crypto market because they did not see the other side of coin. of gamble .its is most important psychology its impact around 50% market decision who we make before order
so finally if you found and mistake in this article and please tell me in comment section because English is not my mother language.
so keep up vote my post and comment on it what you think about this blog what is your advice to predict the market .
thank you