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Bitcoin (Cryptocurrency)

How to determine a breakout level ?A breakout occurs when the price of an asset moves above or below a significant level of support or resistance. For traders, identifying a breakout can be a profitable opportunity to enter or exit a trade. Here are some steps to help you identify a breakout: Identify the key support or resistance level - This is usually a level where the price has previously bounced off several times. Look for a strong momentum in the direction of the breakout - This can be indicated by a sudden increase in volume, or a significant move in the price. Wait for the breakout confirmation - This is when the price moves decisively above or below the support or resistance level. Confirm the breakout with other technical indicators - Use other technical indicators, such as moving averages or trend lines, to confirm the breakout and determine the strength of the trend. Place your trade - Once you have confirmed the breakout, you can enter a long or short position, depending on the direction of the breakout. Remember that not all breakouts are successful, and it's important to use proper risk management techniques, such as setting stop-loss orders, to limit your losses in case the trade goes against you.
Education
by CScalp_EN
What is Bitcoin Pi Cycle Top Indicator?Hi folks, 🎯In this content, we will explore the Bitcoin Pi Cycle Top Indicator and how it can be used. 🎯The Pi Cycle Top Indicator has historically been effective in picking out the timing of market cycle highs to within 3 days. It uses the 111 day moving average (111DMA) and a newly created multiple of the 350-day moving average, the 350DMA x 2. Note: The multiple is of the price values of the 350DMA, not the number of days. 🎯For the past three market cycles, when the 111DMA moves up and crosses the 350DMA x 2 we see that it coincides with the price of Bitcoin peaking. It is also interesting to note that 350 / 111 is 3.153, which is very close to Pi = 3.142. In fact, it is the closest we can get to Pi when dividing 350 by another whole number. This once again demonstrates the cyclical nature of Bitcoin price action over long time frames. However, in this instance, it does so with a high degree of accuracy over the past 7 years. 🎯Let's take a look at how the Pi Cycle Top, which helps us find the previous peak of Bitcoin, has performed in the past. 📌Yellow Trend --> 111DMA Green Trend --> 350DMA 📌As of April 2021, our indicator intersected with the 111DMA and 350DMA, and a peak signal was given at 63K. Bitcoin, then experienced a deep sell-off, falling to 29,000. 📌However, there are two important points to note. Whenever Bitcoin's price movement falls below the 111DMA, it has been exposed to selling pressure. In addition, whenever it manages to maintain a sustained move above the 111DMA, a rise called a "relief rally" begins. 📌So, when did the bull come, or when will it come? Whenever we witness Bitcoin's price above the 350DMA, for example, in December 2020, a serious bull run begins (you can also check previous periods). With the movement starting in December 2020, Bitcoin has experienced over 250% rise. 🎯Neither on-chain data nor technical data alone is sufficient to understand the price movement of any product. However, if we correctly interpret the indicator mentioned here, we can reduce our risk ratio. See you in the next informative content.👋🏻👋🏻
Education
by burakkesmeci
5
Tradingview Volume toolsI've been using Tradingview for just over 8 years now. When I initially started using it I was transitioning from using Footprint tools. I would use techniques that in essence allowed you to see inside a candle. Coupled with techniques such as "DOM" Depth of Market and Cumulative Delta. After a while you get to see some of this stuff without the need of indicators. Tradingview have steadily added various tools to the platform and with a little help from being able to code your own tools it's made it an interesting space to play. So here's a quick overview on the abilities, encase you have yet to explore. This is not a lesson on volume as such, just educating you as to what the possibilities can be. Most would have seen or at least know about the volume on the X axis. This simply gives an idea of the happening of that particular candle, of course things can alter or yield different results based on settings and time frames. we've taken the time to incorporate this simple volume in one of our own indicators. Which is coupled with a Stochastic and a few other bits. It can also be used standalone for spotting divergence for example. You can see how the volume up and price up yet in the third price move up, volume has lowered. There are also various styles of showing this volume data - one such tool is Weiss waves. These are great in conjunction with techniques such as Elliott Waves and Wyckoff. I've shown this over the last two years here on TradingView and both of these techniques have been very useful on Bitcoin during this time. I mentioned CVD the cumulative Volume Delta, here you can see this under the Weiss Wave indicator. Like I said, have a play around with these on your own charts. You will spot some interesting things once you get to know them. Try various instruments as well as timeframes. More recently I posted a video on using Chat GPT to build a pinescript indicator. Here's the link to that post. Well, I've taken that a few steps further. What started as an idea in terms of using Footprint, X axis volume and then what's called periodic volume profile. I personally like to turn the bars/candles off when I got this on. Here's another view - this is the session volume profile and periodic volume combined without the candles being visible. This new indicator extracts various pieces of data and paints key levels based on my old trading style. As you can see today, this is showing like a magnet where the key levels in Bitcoin are likely to be. There's a bit more to it than that but in essence, its what I am showing here. To finish with you have two other tools here on Tradingview - one which is fixed range volume, just as it says on the tin. You can see volume inside a range you determine. I have used a low and a high here to find the PoC - Point of Control. Then finally, you have visible range; this I tend to use less personally, but I know many people like it. This allows you to view the volume profile based on what you have visible on the chart. As you can imagine, as you zoom in n out, it can change. Like I said, this is not a lesson on each tool - it's an intro to, for you to spend the time to play around with these tools. Feel free to ask questions below. Enjoy the rest of the week! Disclaimer This idea does not constitute as financial advice. It is for educational purposes only, our principle trader has over 20 years’ experience in stocks, ETF’s, and Forex. Hence each trade setup might have different hold times, entry or exit conditions, and will vary from the post/idea shared here. You can use the information from this post to make your own trading plan for the instrument discussed. Trading carries a risk; a high percentage of retail traders lose money. Please keep this in mind when entering any trade. Stay safe.
COINBASE:BTCUSDEducation
by Mayfair_Ventures
18
Importance of Comparing Automated Trading Strategies to Buy&HoldImportance of Comparing Automated Trading Strategies to Buy&Hold | 04/15/23 Recently, TradingView introduced a new backtesting feature that allows traders to compare their trading strategy to simple "buy and hold" strategies. This has proven to be very useful for our trading team and crypto community, especially when attempting to find the best settings for manual and automated trading scripts, such as our Ninja Signals V4 script, so we wanted to highlight this awesome new feature. In this example, we used TradingView's new 'Compare to Buy & Hold' feature to compare our chosen configuration settings for our Ninja Signals V4 automated trading script and backtesting strategy. As you can see, our chosen settings have performed significnatly better than simple "buy and hold" strategies over the last several years (compare the green strategy profit line to the blue "buy and hold" profit line). This new TradingView feature is very powerful, because it helps traders determine if a trading strategy is more or less profitable than simply buying and holding. Just because a trading strategy produces some profit does not mean that it is worth trading, especially if simple "buy and hold" strategies out-perform your chosen trading settings. The settings used in this chart performed well even the recent bear market. As you can see in the strategy statistics, as "buy and hold" strategies were losing profit, the settings we used for our Ninja Signals V4 trading script were actually gaining profit. This new TradingView tool improves our ability to find good settings for both manual and automated trading strategies, and gives additional confirmation that profitable trading settings are better than simple "buy and hold" strategies. Furthermore, the settings we used in this chart have compounding turned off, meaning each trade is the same order size, without any reinvesting of profits. Even as our trading fund grows from this profitable trading strategy, we continue to simply place orders for the same amount each time, rather than re-investing profits to trade larger and larger amounts (known as "compounding"). If compounding is turned on, profits grow much faster, but that is beyond the scope of this publication. We will publish a separate educational idea in the future about the importance of comparing "compounding" vs "non-compounding" settings when backtesting, but for the purposes of this chart, we simply wanted to share that we were able to achieve significant profits, even in a bear market, and even with no compounding (no reinvesting of profits). In conclusion, the new TradingView "Compare to Buy & Hold" backtesting feature gives traders a powerful new tool to find better settings for their chosen trading strategy, and additional confirmation and confidence that live trading will be successful. We thank the TradingView team for adding this powerful new feature!
Education
by Bitcoin_Ninjas
1
Managing Psychological Resistance in Bitcoin TradingBitcoin has been gaining popularity in recent years as a digital currency, and its price has been subject to fluctuations. As traders look for ways to profit from Bitcoin, understanding psychological resistance becomes an important factor in trading decisions. What is Psychological Resistance? Psychological resistance is a level at which traders become hesitant to buy an asset, such as Bitcoin, due to a perceived high price. This level is not based on any technical analysis or fundamental data but is a result of human behavior and emotions. For example, if the price of Bitcoin reaches HKEX:50 ,000, some traders may hesitate to buy it as they perceive the price to be high, which creates a psychological resistance level. How can Psychological Resistance Affect the Price of Bitcoin? When the price of Bitcoin reaches a psychological resistance level, traders tend to take profits or sell their positions, causing the price to drop. This can result in a short-term correction in the price of Bitcoin. However, if the price is able to break through the psychological resistance level, it can result in a significant price increase. This is because traders who were previously hesitant to buy may now jump in, driving the price up. Strategies for Trading Psychological Resistance: 1. Use Fibonacci Retracement: Fibonacci retracement levels can be used to identify psychological resistance levels. Traders can use the retracement levels to enter or exit their positions. Fibonacci retracement is a popular technical analysis tool used to identify potential levels of support and resistance. The tool uses horizontal lines to indicate areas of support or resistance at the key Fibonacci levels before the price continues in the original direction. 2. Use Moving Averages: Moving averages can be used to identify trends and potential resistance levels. Traders can use the moving averages to identify potential entry or exit points. Moving averages are a popular technical analysis tool used to identify the trend of an asset's price. Traders can use the moving average to identify potential entry or exit points. 3. Use Bollinger Bands: Bollinger Bands can be used to identify potential support and resistance levels. Traders can use the bands to identify potential entry or exit points. Bollinger Bands are a popular technical analysis tool that uses a moving average and two standard deviations to identify potential levels of support and resistance. Traders can use the bands to identify potential entry or exit points. 4. Use Relative Strength Index (RSI): The RSI can be used to identify potential overbought or oversold conditions. Traders can use the RSI to identify potential entry or exit points. The Relative Strength Index is a momentum oscillator that measures the magnitude of recent price changes to evaluate overbought or oversold conditions. Traders can use the RSI to identify potential entry or exit points. 5. Use Volume: High volume at a psychological resistance level can indicate that traders are hesitant to buy at that price, which can result in a price correction. Traders can use volume to identify potential entry or exit points. Volume is a measure of the number of shares or contracts traded in a specific asset. High volume at a psychological resistance level can indicate that traders are hesitant to buy at that price, which can result in a price correction. Traders can use volume to identify potential entry or exit points. Psychological resistance is an important concept that traders need to understand when trading Bitcoin. By using technical indicators such as Fibonacci retracement, moving averages, Bollinger Bands, RSI, and volume, traders can identify potential entry or exit points at psychological resistance levels. However, traders should also be aware that psychological resistance is not an exact science, and the price of Bitcoin can be influenced by a variety of other factors such as market news, economic events, and investor sentiment. Therefore, it is important for traders to use a combination of technical analysis and fundamental analysis to make informed trading decisions. In addition, traders should also be aware of potential psychological support levels, which are levels where traders may become more confident in buying an asset due to a perceived low price. These levels can also affect the price of Bitcoin and should be considered in trading decisions. Overall, psychological resistance is an important concept that traders need to understand when trading Bitcoin. By using technical indicators and analyzing market sentiment, traders can identify potential entry or exit points at psychological resistance levels. However, it is important to remember that no trading strategy is foolproof and traders should always practice risk management and conduct thorough analysis before making any trades.
BITSTAMP:BTCUSDEducation
by Julien_Eche
Fibonacci Levels and How They Can Be Used in TradingGreetings, @TradingView community! This is @Vestinda, bringing you a helpful article on the topic of Fibonacci Retracements and how to effectively utilize them in your trading strategies. Fibonacci retracement levels are helpful for traders and investors in financial markets. They're horizontal lines on price charts that can show where price may reverse direction. These levels are based on the Fibonacci sequence, which is a series of numbers that occur in math and finance. Use case: The first thing to understand about the Fibonacci tool is that it is most effective when the market is trending. In an upward trending market, traders commonly use the Fibonacci retracement tool to identify potential buying opportunities on retracements to key support levels. Conversely, in a downward trending market, traders may look for opportunities to short sell when the price retraces to a Fibonacci resistance level. Fibonacci retracement levels are regarded as a predictive technical indicator because they attempt to forecast where the price will be in the future. Based on the theory, when trend direction is established, the price tends to partially return or retrace to a previous price level before continuing to move in the direction of the trend. How to Find Fibonacci Retracement Levels: Fibonacci retracement levels can be found by identifying the key Swing High and Swing Low points of an asset's price movement. Once these points are established, you can use the Fibonacci retracement tool, which calculates the potential levels of support and resistance based on the ratios between the key points. To apply the Fibonacci retracement tool, click and drag from the Swing Low to the Swing High in a downtrend, or from the Swing High to the Swing Low in an uptrend. This generates a set of horizontal lines at predetermined Fibonacci ratios, including 23.6%, 38.2%, 50%, 61.8%, and 78.6%. Are you keeping up with me? ;) Now, let's explore some examples of how Fibonacci retracement levels can be applied in cryptocurrency trading The Uptrend: In this instance, the Fibonacci retracement levels were plotted by selecting the Swing Low and Swing High points, which were observed on January 8th, 2021 at a price of $41,904. The Fibonacci retracement levels were $33,521 (23.6%), $29,197 (38.2%), $26,114 (50.0%*), $23,356 (61.8%), and $19,925 (76.4%), as shown in the chart. Traders anticipating that if BTC/USD retraces from its recent high and it will likely find support at a Fibonacci retracement level. This is due to the tendency of traders to place buy orders at these levels as the price drops, creating a potential influx of buying pressure that can drive up prices. While the 50.0% ratio is not officially recognized as a Fibonacci ratio, it has nonetheless become widely used and has persisted over time. Now, let’s look at what happened after the Swing High occurred. Price bounced through the 23.6% level and continued to fall over the next few weeks. Two times tested 38.2% but was unable to fall below it. Subsequently, around January 28th, 2021, the market continued its upward trend and surpassed the previous swing high. Entering a long position at the 38.2% Fibonacci level would have likely resulted in a profitable trade over the long run. The Downtrend Next, we will explore the application of the Fibonacci retracement tool in a downtrend scenario. Here is a 4-hour chart depicting the price action of ETH/USD. As you can see, we found our Swing High at $289 on 14 February 2020 and our Swing Low at $209 later on 27 February 2020 The retracement levels are $225 (23.6%), $236 (38.2%), $245 (50.0%), $255 (61.8%) and $269 (76.4%). In a downtrend, a retracement from a low could face resistance at a Fibonacci level due to selling pressure from traders who want to sell at better prices. Technical traders often use Fibonacci levels to identify areas of potential price resistance and adjust their trading strategies accordingly. Let’s take a look at what happened next. The market did make an attempt to rise, but it briefly halted below the 38.2% level before reaching the 50.0% barrier. The placement of orders at the 38.2% or 50.0% levels would have resulted in a profitable trade outcome. In these two instances, we can observe that price positioned itself at a Fibonacci retracement level to find some temporary support or resistance. These levels develop into self-fulfilling support and resistance levels as a result of all the people who utilize the Fibonacci tool. All those pending orders could affect the market price if enough market participants anticipate a retracement to take place close to a Fibonacci retracement level and are prepared to enter a position when the price hits that level. In conclusion: It's important to note that pricing doesn't always follow an upward trajectory from Fibonacci retracement levels. Instead, these levels should be approached as potential areas for further research and analysis. If trading were as simple as placing orders at Fibonacci retracement levels, markets wouldn't be so volatile. However, as we all know, trading is a complex and dynamic process that requires a combination of knowledge, skill, and experience to succeed. We are truly grateful for your attention and time in reading this post. If you found it insightful and beneficial, we would be thrilled if you could show your support by clicking the <> button and subscribing to our page. We are excited to share that our upcoming post will showcase what occurs when Fibonacci retracement levels do not perform as expected. Stay tuned for an informative and professional read.
INDEX:BTCUSDEducation
by Vestinda
22
BTCUSD : Technical Indicators and Step-by-Step StrategyHere's a step-by-step strategy for using the 15-minute BTCUSD chart: Step 1: Set up your chart with the chosen indicators 1. Add the 50-period (blue) and 200-period (red) Exponential Moving Averages (EMA) to the Bitcoin price chart. 2. Add Bollinger Bands with a 20-period moving average (green) and 2 standard deviations. 3. Add a volume chart below the price chart. 4. Add the 14-period Relative Strength Index (RSI) in a separate panel below the volume chart. 5. Add the Moving Average Convergence Divergence (MACD) with periods of 12, 26, and 9 in another separate panel. Step 2: Analyze the trend and identify support and resistance levels 1. Suppose the Bitcoin price is above the 50 and 200 EMA, indicating an overall uptrend. If it's below both, it signals a downtrend. 2. For example, if the price bounces off the 50 EMA multiple times, this level acts as a support in an uptrend. In a downtrend, it acts as resistance. Step 3: Use Bollinger Bands to identify buying and selling opportunities 1. On February 10th, 12:45 PM, the Bitcoin price touches the lower Bollinger Band and then moves upwards, representing a potential buying opportunity. Similarly, on February 11th, 4:15 PM, the price touches the upper Bollinger Band and then reverses, signaling a selling opportunity. Step 4: Analyze volume 1. On February 10th, 1:00 PM, a significant increase in volume corresponds to a strong upward price movement, suggesting bullish activity. Step 5: Analyze momentum and trend indicators 1. On February 11th, 9:30 AM to 10:45 AM, the Bitcoin price makes higher lows while the RSI shows lower lows, indicating a bullish divergence, suggesting a potential trend reversal. 2. On February 11th, 11:30 AM, the MACD line (blue) crosses above the signal line (orange), indicating a potential shift to an uptrend. Step 6: Synthesize the information and make a decision 1. Using the previous examples, a possible trading strategy could be to buy when the price touches the lower Bollinger Band and the RSI shows bullish divergence during an overall uptrend, and sell when the price touches the upper Bollinger Band during an uptrend. 2. Entry points: February 10th, 12:45 PM (buy) and February 11th, 4:15 PM (sell). Set stop-loss and take-profit levels based on your risk tolerance and trading plan. Please note that these examples are for illustrative purposes and past performance does not guarantee future results. It is essential to adapt your analysis and trading strategy to changing market conditions and develop a comprehensive understanding of these indicators to make informed decisions.
Education
by Julien_Eche
2
Navigating the Uncertainties of Fibonacci Retracements in CryptoHello, @TradingView community! I'm @Vestinda, and I'm thrilled to share an informative article with you today about Fibonacci Retracements. While they can be useful tools for traders and investors in financial markets, it's important to note that they are not infallible and may not always produce the desired outcomes. As discussed in our previous post, Fibonacci support and resistance levels are not infallible and may occasionally break. It is essential to remain vigilant and use these levels in conjunction with other technical indicators and market analysis to make informed trading decisions. While Fibonacci retracements can be a useful tool in technical analysis, it is crucial to exercise caution and not solely rely on them as the sole basis for trading decisions. Unfortunately, Fibonacci retracements are not infallible and may not always work as expected. Let us examine a scenario where the Fibonacci retracement tool proves to be ineffective in technical analysis. To make a prudent trading decision amidst the ongoing downtrend of the pair, you make a strategic choice to leverage the Fibonacci retracement tool. With meticulous attention to detail, you designate the swing low at 3,882 and the swing high at 10,482 for precise determination of a Fibonacci retracement entry point. The BTC/USD Daily chart is shown below. Upon careful analysis, it is evident that the pair has rebounded from the 50.0% Fibonacci retracement level for multiple candles. As an astute trader, you recognize this crucial pattern and conclude that it is a viable opportunity to enter a short position. You thoughtfully consider, "This particular Fibonacci retracement level is showing remarkable resilience. It is undoubtedly a lucrative moment to short it." You may have been tempted to take a short position in anticipation of profiting from the downtrend of the pair, while simultaneously daydreaming of cruising down Rodeo Drive in a Maserati. However, if you had placed an order at that level without proper risk management, your hopes of profit would have quickly dissipated as your account balance plummeted. Observing the price action of BTC, let's examine what occurred next. Indeed, the price action of BTC demonstrates that the market is constantly evolving, and traders must be prepared to adapt to these changes. As shown in this specific case, the price not only climbed close to the Swing High level, but the Swing Low marked the bottom of the previous downtrend. This serves as a prime example of the significance of flexibility in the dynamic realm of cryptocurrency trading. What can we learn from this? In the world of cryptocurrency trading, Fibonacci retracement levels can be a useful tool to increase your chances of success. However, it's important to understand that they are not foolproof and may not always work as intended. It's possible that the price may reach levels of 50.0% or 61.8% before reversing, or that the market may surge past all Fibonacci levels. Additionally, the choice of Swing Low and Swing High to use can also be a source of confusion for traders, as everyone has their own biases, chart preferences, and timeframes. In uncertain market conditions, there is no one correct course of action, and utilizing the Fibonacci retracement tool can sometimes feel like a guessing game. To improve your chances of success, it's crucial to develop your skills and use Fibonacci retracements in conjunction with other tools in your trading toolkit. Thank you for taking the time to read our post. We sincerely appreciate your attention and hope that you found it informative and helpful. If you did, we kindly request that you show your support by clicking the "Boost" button and subscribing to our page. Your support helps us create more valuable content for our community.
INDEX:BTCUSDEducation
by Vestinda
Crypto Analysis: A Comprehensive Technical & Fundamental GuideHere is a detailed step-by-step guide on how to use the technical and fundamental indicators to analyze cryptocurrencies: Step 1: Choose a reliable trading or charting platform Select a trading or charting platform that allows you to access and utilize the technical and fundamental indicators mentioned. I personally use and recommend TradingView for its reliability and ease of use in cryptocurrency analysis. Step 2: Set up your chart Configure your chart with your chosen cryptocurrency's price data, typically using the daily timeframe for a broader perspective. You can adjust the timeframe according to your preferred trading style (short-term, medium-term, or long-term). Step 3: Apply technical indicators Add the following technical indicators to your chart: a. Exponential Moving Averages (EMA): Use three EMAs with different periods (e.g., 20, 50, and 100 days) to identify short, medium, and long-term trends. Look for crossovers between the EMAs as potential buy or sell signals. b. MACD (Moving Average Convergence Divergence): Apply the MACD indicator with standard settings (12, 26, 9). Look for crossovers between the MACD line and the signal line as potential buy or sell signals. Additionally, watch for bullish or bearish divergence between the MACD and price. c. RSI (Relative Strength Index): Apply the RSI indicator with a 14-day period. Monitor the RSI levels for overbought (>70) or oversold (<30) conditions, which could signal potential price reversals. Step 4: Analyze the cryptocurrency market fundamentals Evaluate the following fundamental factors: a. Adoption: Research the current rate of cryptocurrency adoption, including new users, institutional interest, and use cases. Increasing adoption typically indicates a positive long-term outlook. b. Regulation: Stay informed about the latest regulatory developments and legal frameworks that could impact your chosen cryptocurrency's value and market perception. c. Utility: Assess the cryptocurrency's current utility, such as its use as a store of value, a medium of exchange, or as a hedge against traditional financial markets. Step 5: Analyze the cryptocurrency network Examine key network metrics, such as: a. Hash rate: A higher hash rate indicates a strong and secure network. Monitor the hash rate for consistent growth or sudden drops, which could impact the cryptocurrency's price. b. Mining difficulty: Observe the mining difficulty as an indicator of network security and miner participation. Higher mining difficulty generally implies a more secure network. c. Transactions: Track the number of daily transactions on the cryptocurrency network, as increased transaction activity may correlate with higher demand and network utility. Step 6: Synthesize your analysis Combine your technical and fundamental analyses to create a comprehensive understanding of your chosen cryptocurrency's current market conditions. Look for confluence between the technical indicators and the fundamental factors to identify potential trading opportunities or long-term investment decisions. Step 7: Continuously monitor and adjust Regularly update your analysis to stay informed about changes in the market or network conditions. Adapt your trading or investment strategy accordingly. Keep in mind that this is just one example of a method that combines technical and fundamental indicators. The effectiveness of this method will depend on various factors, including market conditions, your trading or investment strategy, and your ability to interpret and act on the provided information. Always exercise due diligence and research before making any trading or investment decisions.
Education
by Julien_Eche
Bitcoin - Why?Well, More than an investment Bitcoin represents an asset and a movement whose time has come and is very much needed. Providing freedom and property rights. Fixed supply and a deflationary environment. More than profiting from this it is also important to understand the principles behind this technology. While having some cash in the bank does not completely gurantee you to be the owner of that amount, when you own Bitcoin , if you properly store your private keys (same thing as your online banking passwords and codes) nobody else has access to your wealth. Not even a third party. You are the owner in its true sense of the word. Non-custodial wallets provide you true freedom while cash in the bank provides you with hope that when its time to withdraw it your bank has it. We could also talk about money printing and debt which caused a giant wave of inflation and is debasind the US Dollar. Our ourchasing power is reducing drastically. We are becoming modern slaves to this Fiat system. People are beginning to realise this. Times are changing and as Ray Dalio says - everything is cyclical. You might have to consider owning some Bitcoin , "just in case it catches on" :) Some useful information: - 21M Bitcoin fixed supply; - Backed by code and maths; - Not controlled by a central authority; - Your keys, your coins; - 1 BTC = 100.000.000 sats. CRYPTOCAP:BTC
BITSTAMP:BTCUSDEducation
by nbonjardim
Best Passive income cryptocurrencyMany of us have crypto store money in our bank accounts. Many ventures are exploring passive income options. It doesn’t matter what approach you take, the goal is to put your spare funds to work for yourself. One way to do this is with crypto. Let’s look at the 10 possible ways you can use crypto. Let’s quickly say that you can makepassive income from cryptocurrencies in 10 different ways. You may not always succeed. High volatility in cryptocurrency investments is a risky investment. You can lose 100% of your investment even if there is no volatile market factor such as bearish or inflation. There are eight ways to generate passive income from crypto. Many of the most popular cryptocurrencies can be used to generate passive income. It is crucial to research thoroughly and speak with financial professionals before making any investment decision. Here are the top passive income cryptos. 1. Staking cryptocurrency 2. Yield farming 3. Proof Of Work. 4. A crypto interest account. 5.Lending Platform 6.Dividends Tokens. 7.Airdrops and Forks. 8.Affiliate program. 9.Masternode cryptocurrency. 10.Decentralized Finance (DeFi cryptocurrency):
Education
by carripayvideos1988
Get ahead of the Game of Crypto with Dow TheoryWelcome to @TradingView , this is @Vestinda! We're excited to share with you our insights on the Dow Jones Theory and how it can benefit cryptocurrency traders. Dow Theory, also known as Dow Jones Theory, is a trading strategy developed by Charles Dow in the late 1800s. Charles Dow did not write any books during his lifetime, but he did co-found The Wall Street Journal and the Dow Jones & Company. He also wrote many editorials for The Wall Street Journal. Here is a quote from one of his editorials that is particularly insightful: "The successful investor is usually an individual who is inherently interested in business problems." Dow theory continues to dominate and is regarded as one of the most sophisticated contemporary studies on technical analysis even after 100 years. What exactly is Dow Theory? Charles H. Dow compared the stock market to the tides of the ocean in the Wall Street Journal on January 31, 1901. "A person watching the tide come in and wanting to know the exact location of the high tide places a stick in the sand at the points reached by the incoming waves until the stick reaches a position where the waves do not come up to it and finally recedes enough to show that the tide has turned." This method is effective for observing and predicting the flood tide of the stock market." Dow believed that the current state of the stock market could be used to analyse the current state of the economy. The stock market can provide valuable measures for understanding the reasons for high and low trends in the economy or individual stocks. How Does the Dow Theory Work? The Dow Theory is based on several fundamental tenets, which are outlined below: 1. The Averages Reflect Everything: The market price takes into account every known or unknown factor that may impact both supply and demand. According to this observation, the market reflects all available information, even information that is not in the public domain. However, natural disasters such as droughts, cyclones, floods, or earthquakes cannot be considered. Major Geopolitical Events are Already Priced In: All significant geopolitical events, trade wars, domestic policies, elections, GDP growth, changes in interest rates, earning projections, or expectations are already priced in the market. Unexpected Events Affect Short-Term Trends: While unexpected events may occur, they usually only affect short-term trends, and the primary trend remains unaffected. Overall, the Dow Theory emphasises the importance of analysing the primary trend of the market and understanding that all available information is already reflected in the market price. 2. The Market Has Three Trends: The primary trend: It can be as long as one year to several years and is the ‘main movement’ of the market. These movements are typically referred to as bull and bear markets. This primary uptrend is called as bullish on the other hand primary downtrend can be considered as bearish trends. The reality of the situation is that nobody knows where and when the primary uptrend or downtrend will end. As you can see in the image above when a stock is moving in primary uptrend it makes new high followed by few lows not lower than the previous lows. Similarly the same patterns follows when it is in primary downtrend. The objective of Dow Theory is to utilize what we do know, not to make chaotic guess about what we don’t know. Through a set of guidelines from Dow Theory one can measure to identify the primary trend and stay with it. The intermediate trend or secondary trend: This trend can last between 3 weeks to several months. Secondary movements are reactionary in nature, think of them as corrections during bull market, or rallies & recoveries in the bear market. In a bull market, a secondary trend is considered a correction. In a bear market, secondary trend are called reaction rallies. So suppose if a stock during its primary uptrend made a high, it will retrace back to some points to make a low (known as intermediate trend or correction). Likewise during an primary downtrend, a stock can make a high after falling for several months or years(known as bear market rallies). The minor trend or daily fluctuations: This trend is least reliable which can be lasting from several days to few hours. Dow theory suggests not to put much attention to these trends. As a Long-term investor it is just the part of corrections in secondary uptrend or downtrend rally. This are just daily fluctuations happening in market on day to day basis. It constitutes of noise in market and perhaps be subject to manipulation. Out of the three trends mentioned only primary and secondary trends are trustworthy. However, the study of daily price action can add valuable insight, if you look in context of the larger picture. So when you are looking for daily price action of several days, or weeks try to evaluate bigger structure getting formed. By putting enough attention one can certainly benefit in short term rallies. A few pieces of a structure are meaningless, yet at the same time, they are essential to complete the entire picture. 3.Major Trends Have Three Phases: Dow significantly paid attention to the primary trends (major) in which he spotted three phases. These are Accumulation phase, Public participation phase and Distribution phase. These phases are cyclic in nature and repeats over the time. A) Accumulation phase: This phase occurs when the market is in bearish trend, sentiments are negative with no hope for any upcoming uptrend. For example as we saw in Indian share market a steep low in mid cap stocks, making new lows every other day. Most of the investors see them stay in this trend for unknown time period. However, this is the time when big investors, huge fund houses, institutional investors start accumulating them gradually. This is known as smart money keeping their view for long term investment. Although you would see sellers in market still selling, they find the buyers easily. B) Public participation phase: At this phase the market have already absorbed the negativity with ‘smart money’ getting invested. This is the second stage of a primary bull market and is usually sees the largest advance in prices. During this phase majority of public(retailers) also thinks to join in as the price is rapidly advancing. However most of them are left behind due to speed in rallies as well as the averages start heading higher. If you are also a trader or investor you might have this experience and a regret of not able to participate with rally. It is a period followed by improved business conditions and increased valuations in stocks. C) Distribution phase: The third stage is the excess phase which eventually be turned to distribution phase. During the third and final stage, the public (retailers) gets fully involved in the market, as they get mesmerized by the bull market rally. Some of them who felt left will still try to look for valuations and want to be part of the rally. But this is the time when ‘smart money’ starts liquidating shares on every high. Whereas public will try to buy at this level absorbing all liquidating (sell-off) volumes made by big investors. On contrary in the distribution phase, whenever the prices attempt to go higher, the smart money off loads their holdings. This is the beginning of bear market, where sentiments will start turning negative, you will see more and more companies filing bankruptcy, change in economic growth etc. During bear market the level of frustration rises among retail investors as they start loosing all hopes. 4.The Averages Must Confirm Each Other: Dow used to say that unless both Industrial and Rail(transportation) Averages exceed a previous peak, there is no confirmation or continuation of a bull market. Both the averages did not have to move simultaneously, but the quicker one followed another – the stronger the confirmation. To put it differently, observe the image above, as you can see both the averages are in bull market, trending upward from Point A to C. 5. Volume Must Confirm the Trend: Volume is a tool to know how many shares have been bought and sold in a given period of time. It helps in analysing the trends and patterns. Now according to Dow theory, a stock must be in uptrend with high volume and low in corrections. Volumes may not be an attractive piece of information but you should try to combine the volume data with resistance and support levels to get a clear picture. 6. Trend Is expected to Be Continued Until Definite Signals of Its Reversal: Quite similar to Newton’s first law of motion which states that an object will remain at rest or in uniform motion in a straight line unless acted upon by an external force. In simple words an object will remain in their state of motion unless a external force acts to change the motion. Likewise, the market will continue to move in a primary direction until a force, such as a change in business conditions, is strong enough to change the direction of this primary move. You can also see the signals for reversals when a trend is about to change. 7.Signals and Identification of Trends: One of the major challenges faced while implementing Dow theory is the accurate identification of trend reversals. Remember, if you are following the dow theory one should be not only looking for overall market direction, but also the definite reversal signals. One of the main skill used to identify trend reversals in Dow theory is peak and trough or high and low analysis. A peak is defined as the highest price of a market movement, while a trough is seen as the lowest price of a market movement. Dow theory suggests that the market doesn’t move in a straight line but from highs (peaks) to lows (troughs), with the overall moves of the market trending in a direction. An upward trend in Dow theory is a series of successively higher peaks and higher troughs. A downward trend is a series of successively lower peaks and lower troughs. 8. Manipulation In the Market: According to Charles dow the manipulation of the primary trend is not possible. where as Intraday, or day to day trading and perhaps even the secondary movements could be vulnerable to manipulation. These short movements, from a few hours to a few weeks, could be subject to manipulation by large institutions, speculators, breaking news or rumors. There is possibility that speculators, specialists or anyone else involved in the markets could manipulate the prices in short run. Individual shares could be manipulated for example the security rise up and then falls back and continues the primary trend. With this in mind one need to be aware of the situations while trading and investing. However, it would be next to impossible to manipulate the market as a whole. The market is simply too big for any kind of manipulation to occur. Why Dow Theory Is Not Infallible? Dow Theory is not a sure-fire means of beating the market hence it is not something which is infallible or fault-less. Some of the criticism received about Dow Theory is that it is really not a theory. Charles Dow's principles and theories, while developed for the stock market, can still be applied to crypto investing. Here are a few ways his knowledge can be used: Follow the trend: Dow's first principle is that the market moves in trends. In crypto investing, you can identify trends by looking at price charts and technical analysis. If the price of a particular cryptocurrency is in an uptrend, it may be a good time to consider buying. If it's in a downtrend, you may want to consider selling or waiting for a better entry point. Consider market breadth: Dow's second principle is that the market's movements should be confirmed by market breadth. This means looking beyond just the price of one cryptocurrency and examining the overall health of the market. For example, if a particular cryptocurrency is in an uptrend but the majority of other cryptocurrencies are in a downtrend, it may not be a sustainable trend. Use volume as a confirmation: Dow's third principle is that volume should confirm the trend. In crypto investing, volume can provide insight into the strength of a trend. For example, if the price of a cryptocurrency is increasing with high volume, it may indicate a strong uptrend. On the other hand, if the price is increasing with low volume, it may not be a sustainable trend. Be aware of market cycles: Dow's fourth principle is that the market moves in cycles. This means that there will be periods of growth and periods of decline. In crypto investing, it's important to be aware of these cycles and adjust your strategy accordingly. For example, during a bull market, you may want to focus on buying and holding, while during a bear market, you may want to consider shorting or staying on the sidelines. Overall, while the crypto market is different from the stock market, many of Dow's principles can still be applied to crypto investing to help you make more informed decisions. In conclusion, Dow Theory, developed by Charles Dow in the late 1800s, remains one of the most respected theories in financial market history. The theory's primary tenets are based on the idea that the stock market reflects all available information, and there are three trends in the market: primary, intermediate, and minor. The primary trend is the most important and can last several years, while the intermediate trend and minor trend are reactionary in nature. Dow Theory provides an excellent framework for traders and investors to evaluate the current state of the economy, and it has remained relevant even after 100 years. Whether you are an intraday trader, a short-term trader, or a long-term investor, the knowledge of Dow Theory will undoubtedly help you develop various strategies for your investments. So, in conclusion, Dow Theory is a respectful theory that has stood the test of time and continues to be an essential tool for anyone who trades or invests in the financial and crypto market. Unleash Your Inner Trader — Read Story About Bulls and Bears That Will Change Your Mindset! Hey there, our lovely friends! 😊 If you enjoyed reading this, please hit the "like" button 👍 and share it on your social media and groups. By doing so, more people can discover this interesting information, and we'll be encouraged to create even more awesome content for you! ♥️
TVC:DJIEducation
by Vestinda
15
Hyperinflation WARNING ! 🚨🚨🚨⏰Now that I have your attention. I would like to discuss the history of hyperinflation and explore certain aspects of it to enable more informed decision-making in trading and investing. Hyperinflation is a situation in which the general price level of goods and services in an economy rises rapidly and continuously, often by more than 50% per month. History of hyperinflation During World War I, many countries printed large amounts of money to finance their military expenses. This led to a significant increase in the money supply, but after the war ended, the demand for goods and services declined sharply, leading to a mismatch between the amount of money in circulation and the supply of goods and services in the economy. As a result, many countries experienced hyperinflation, with prices rising rapidly and continuously. For example, in Germany, the hyperinflation crisis of 1923 saw prices double every two days, with the value of the currency ultimately collapsing. This was caused by a combination of factors, including war debt, loss of productive capacity, and excessive money printing. During and after World War II, several countries experienced hyperinflation again. Some of the countries that experienced hyperinflation throughout this period include: Germany: During World War II, Germany again experienced hyperinflation due to the massive amounts of money printed to finance the war effort. Hungary: In Hungary, hyperinflation occurred after the end of World War II due to the government's attempts to finance the reconstruction of the country, combined with a lack of goods and services. Poland: Poland experienced hyperinflation after World War II as a result of a combination of factors, including wartime destruction, Soviet occupation, and economic policies that led to a decline in production. Greece: Greece experienced hyperinflation in the aftermath of World War II due to political instability and a lack of economic resources. China: During the Chinese Civil War, hyperinflation occurred due to a combination of factors, including wartime destruction, a lack of resources, and the printing of large amounts of money. These countries experienced hyperinflation due to various reasons such as war, destruction of infrastructure, political instability, and printing of excessive amounts of money to finance government expenditures. The resulting hyperinflation led to a decline in living standards, widespread poverty, and economic instability. Upon reviewing a brief history of hyperinflation, it is reasonable to expect cyclical patterns, although these may not be exact, they can be quite similar or closely related for the future. Key factors to look for before hyperinflation occurs Rapid money supply growth: Hyperinflation is often triggered by excessive money creation by the central bank or government, leading to a rapid increase in the supply of money in circulation. Unsustainable fiscal policies: Large budget deficits, high levels of government debt, and unsustainable spending policies can also contribute to hyperinflation. Political instability: Hyperinflation can also be triggered by political instability, such as a war or revolution, which can disrupt economic activity and lead to a loss of confidence in the currency. Collapse of the banking system: If a country's banking system collapses, it may be unable to provide the credit necessary for economic growth, which can lead to hyperinflation. Loss of confidence in the currency: When people lose confidence in a currency, they may rush to exchange it for another currency or for tangible assets, such as gold or real estate, which can lead to hyperinflation Currently, we are observing indications of cracks in the system, but we have not ticked all the boxes just yet. While we may be witnessing some of these events, they are not yet occurring on a scale significant enough to result in hyperinflation. It is possible that we may encounter some events of inflation panic before hyperinflation truly comes to fruition. Many respected traders are providing specific dates or timeframes for when the economic collapse may occur. However, it is important to note that most of the time these predictions are off the mark when it comes to timing. It is also important to remember that as a trader, you are essentially betting against those traders who are also betting against you. Thus, it is important to conduct thorough research and analysis before making any decisions. Undoubtedly, inflation is on the rise; however, it is crucial to approach the situation objectively and without emotional bias. It is likely that some of us may make hasty and panic-based decisions in response to the inflationary environment, but those of us who remain level-headed and well-informed may be better positioned to make sound decisions Should I buy and hold Bitcoin or Gold? While it may appear reasonable to assume that prices will continue to rise indefinitely in an inflationary or hyperinflationary environment, the reality is often more complex. In fact, prices can experience whiplash in both directions, as seen in the example of gold depicted in this chart. Note the pattern of rising highs and lows. This pattern may look familiar to those who follow Bitcoin, which has also experienced volatile price swings in both directions. As market conditions evolve, investors and traders must exercise caution while implementing sound strategies to safeguard their financial portfolios. As the market is bound to experience periods of panic in the future, it would be wise to proactively assess your portfolio and take or re-allocate profits accordingly. By adopting a dynamic approach that is responsive to evolving market conditions, you can position yourself for success in an environment of heightened volatility. Thus, it is essential to remain nimble and adapt to changing market conditions to minimize risk and maximize returns.
COINBASE:BTCUSDEducation
by UnknownUnicorn45342505
4
The three most worthwhile potential coins to invest in in 2023Today, I will reveal what I think is the best cryptocurrency portfolio in 2023.I think this portfolio will be the best altcoin in 2023. 1.Arweave (AR) Arweave is a Blockchain-based decentralized platform that provides a permanent and tamper-proof data storage solution.It was launched in 2017 by a group of developers led by Sam Williams.The platform aims to solve the problem of data persistence by providing a cost-effective permanent data storage solution that is accessible to everyone. A key feature of Arweave is that it uses a new consensus mechanism called proof of access (PoA).This mechanism is designed to be more energy-efficient than traditional proof-of-work (PoW) or proof-of-stake (PoS) mechanisms, and also allows faster transaction times.The working principle of PoA is to require nodes to prove that they have stored a certain amount of data on the Arweave network in order to participate in the consensus process. Arweave also has a unique economic model designed to motivate data storage on the network.The platform uses a local cryptocurrency called AR to pay for storage.AR is also used to reward nodes that participate in the consensus process, which helps ensure the security and reliability of the network.As of March 2023, AR has a market capitalization of more than 1.5 billion US dollars. A significant use case of Arweave is the creation of a decentralized social media platform.Since the data stored on Arweave is permanent and immutable, it provides a feasible alternative to traditional centralized social media platforms that are vulnerable to censorship and data leakage. In short, Arweave is a blockchain-based platform that provides a cost-effective permanent data storage solution.Its unique consensus mechanism and economic model have helped it gain attention in the blockchain community, and have the potential to revolutionize the way we store and access data in the future. 2.Chainlink (LINK) Chainlink (LINK) is a decentralized oracle network designed to connect smart contracts to real-world data so that they can interact with the outside world in a safe and reliable way.Launched in 2017, Chainlink has quickly become one of the most popular blockchain projects, with a market capitalization of more than US10 billion as of March 2023. The idea behind Chainlink is to solve the trust problem in smart contracts.A smart contract is a self-executing program that runs on the blockchain and is designed to be executed automatically when certain conditions are met.However, these conditions are usually based on data outside the blockchain, such as stock prices or weather data.In order to ensure the accuracy and immutability of this data, smart contracts need to rely on oracles. The oracle is a third-party service that can provide the data required for the execution of smart contracts.However, these oracles can be centralized, which means they are vulnerable to manipulation or attack.Chainlink tries to solve this problem by creating a decentralized oracle network that can provide reliable and secure data for smart contracts. Chainlink works by connecting smart contracts to multiple nodes in its network.These nodes are operated by independent operators, who are motivated to provide accurate data by earning LINK tokens (the native cryptocurrency of the Chainlink network).When a smart contract needs data, it sends requests to multiple nodes in the network.The node then provides its own data, which is aggregated and verified by the Chainlink protocol to ensure accuracy and consistency. One of the key features of Chainlink is its ability to provide data from off-chain sources (such as APIs and Web services).This means that smart contracts can be connected to a wide range of data sources, including traditional financial markets, weather services, and social media platforms. Chainlink is also very popular in the field of decentralized finance (DeFi), it is used to provide reliable and secure price information for various DeFi protocols.This price information is essential to determine the value of various assets and execute transactions in the DeFi ecosystem. In addition to technical features, Chainlink also has a strong and active community of developers and supporters.The project is led by Sergey Nazarov and Steve Ellis, who have a long history in the field of blockchain and smart contracts.Chainlink has also established partnerships with many large companies, including Google, Oracle, and SWIFT, which has helped increase its visibility and adoption. In general, Chainlink is a promising project that aims to solve an important problem in the blockchain field.Its decentralized oracle network has the potential to revolutionize the way smart contracts interact with the outside world, and its growing ecosystem of developers and supporters shows that it will continue to be a major player in the blockchain industry in the coming years. 3.Uniswap(UNI) Uniswap is one of the most popular decentralized exchanges in the cryptocurrency market.Uniswap is a decentralized exchange (DEX) built on the Ethereum blockchain, allowing users to trade Ethereum-based tokens without the need for intermediaries or central institutions.It was created by Hayden Adams in November 2018 and has since become one of the most widely used DEX in the cryptocurrency space. The core of Uniswap is the use of an automatic market maker (AMM) system, which means it relies on a set of algorithms to determine the price of a given asset.This is in stark contrast to traditional centralized exchanges, which usually use order books to match buyers and sellers and determine asset prices. The Uniswap agreement has two main components: the liquidity pool and the Uniswap token (UNI).The liquidity pool is a place where users can deposit their tokens to provide liquidity to the exchange. In return, they can get a portion of the transaction fees generated by the platform.On the other hand, Uniswap tokens are used for governance and allow holders to vote on important decisions related to the agreement. As of March 2023, Uniswap has been rated as one of the top decentralized exchanges, and the market capitalization of UNI tokens exceeds US 10 billion, making it one of the top 25 cryptocurrencies by market capitalization. One of the main advantages of using Uniswap is its decentralized nature, which means that it will not be subject to the same risks as centralized exchanges, such as hacking or government intervention.In addition, since Uniswap is built on the Ethereum blockchain, it benefits from the security and reliability of the Ethereum network. Having said that, there are also some risks in using Uniswap.For example, the value of tokens held in the liquidity pool may fluctuate significantly depending on market conditions, which may cause liquidity providers to suffer losses.In addition, since Uniswap is a decentralized platform, there is no central authority to supervise the platform, which means that users need to be careful to avoid fraud. Overall, Uniswap is a powerful and popular decentralized exchange that provides a series of benefits for cryptocurrency traders and investors.However, as with any investment in the cryptocurrency space, it is important to conduct your own research and carefully consider the risks before investing. In order to facilitate everyone to continue to follow up on my analysis and sharing, you can like and follow me; in addition, I will share the daily real-time strategy in the channel. If you can't follow up in real time, you may make operational errors.You can use the following methods to enter my channel for free to follow the latest news and follow up on market trends in real time.
BITSTAMP:BTCUSDEducation
by Short-term-king
The Story Behind Bulls and BearsHello @TradingView family , this is @Vestinda, and let's have some fun and enjoy the markets together. Vestinda is driven to offer our knowledge in developing winning strategies and make traders tasks easier. This is The Story About Bulls and Bears. Bulls can lift things up, Bears can eat you for lunch. Who Are The "Bulls" And The "Bears" In The Market The terms "bulls" and "bears" are included in the trader's slang as the main categories of players in the market. Understanding the technique of the game will help you to understand the intricacies of how the market works. "Bulls" are buying investors. Like their totem, they lift the enemy up on the horns. "Bulls" buy, wait for the rising rate and sell at a higher price. They dream of a prosperous economy: the lower the unemployment rate, the higher the GDP, the faster markets grow. Warren Buffett - the most famous representative of the bulls . The Bears play on the opposite side. They earn on the depreciation, in a fading economy. Their ideal world is high unemployment, low GDP and large-scale crises. It all starts long before the collapse of the market: the “bears” buy on credit and immediately resell, artificially creating a drop in prices. After the price becomes cheaper, they are purchased again, but at a lower price, and the debt is repaid. The difference between the first and second purchases is the profit of the bears. 💲 How Bulls Make Money On The Market 💲 "Bulls" buy, when they are sure that the market will go up. Examples of situations where this is possible: 🟣 the shareholder enterprise has published a financial report, and the figures exceeded forecasts; 🟣 the new reform allows to pay less taxes, thereby increasing profits; 🟣 the company has introduced a new product, which, according to analysts, will be in great demand; 🟣 the level of well-being, salary and solvency of the population are growing, which has a beneficial effect on the company's profit. Bullish trades take time – you have to wait to make money. "Bears" are distinguished by shorter trades and the prospect of quick earnings. A red flag for the bulls is an increase in prices by 20% from the lows and the presence of strong prerequisites for further growth. The most favorable moment comes when there are more buyers than sellers on the market. 📍 There Are 4 Key Phases Of A Bull Market:📍 1️⃣ "bearish" trends are gradually fading; 2️⃣ the backdrop of negative news has ended, but there is no confidence in future growth yet, the market is moving sideways, the growth of prices alternates with a fall; 3️⃣ the economy is going up, volatility is decreasing, investors are optimistic; 4️⃣ the peak of growth, traders make easy profits. The market trends are cyclical, a bull market becomes overbought over time and inevitably turns into a bear market. The move up can be uneven, with periods of pullbacks and corrections, that provide an opportunity to profit on counter-trend trades. As a rule, prices didn't rise as quickly and unpredictably as they fall. Therefore, transactions in the "bullish" market are characterized by a longer period, the so-called "long positions". Both own and borrowed money, shares and other assets, which are returned after closing, act as collateral. Long positions are considered more stable, predictable and calm. Therefore the majority of market participants are "bulls" (or consider themselves so). In an uptrend, it's easy to choose an investment because almost everything goes up. However, the "bulls" need to be careful and remember, that there is no eternal growth, the market can be oversaturated at any moment, turning in the opposite direction. It is important for conservative traders to exit the game on time. 💲 How Bears Make Money On The Market 💲 The bears enter the arena during a downturn in the economy and prices. Their tactic is to sell at the beginning of a downtrend and then buy at the end of a downtrend. If they guess the high and low points of the bear market, they will receive the maximum margin. Examples of situations, that will play into the hands of this category of traders: 🟣 there were large-scale economic crises, force majeure situations, natural disasters, epidemics, wars; 🟣 the shareholder enterprise found itself in the center of a scandal or changed its general director; 🟣 sales of the new product failed. A "bear" market comes into its own, when prices fall by 20% from the maximum. There are 4 main stages of the trend: 1️⃣ the bull market is oversaturated and goes into overbought phase; 2️⃣ against the backdrop of negative sentiment, prices fall sharply, and trading activity decreases, panic arises on the market; 3️⃣ prices fell quite strongly, but continue to gradually decline, at this time “bears” enter the market en masse; 4️⃣ seduced by cheaper prices, conservative investors become more active, due to which the market gradually turns in the opposite direction. Thus, the "bear" market is gradually replaced by a "bullish" one. Can a Bull become a Bear? In fact, these divisions are rather arbitrary, they were created by exchange slang. Officially, in the market, you do not need to indicate yourself in which category you belong, so no need to be a bull or a bear all your life. Traders' strategies are good because they can be adapted or completely changed to specific conditions on the exchange. It's not always possible to sell shares at the maximum or buy at the minimum price, so you have to adjust to the average attitude. Therefore, a “bull” can become a “bear”, just like a “bear” can become a “bull”. Conclusion: What are Bulls and Bears in Trading? Bulls and Bears are two sides of the stock market. Bulls are traders who believe that the stock prices will go up, while bears are traders who think that the stock prices will go down. In trading, these two forces are constantly at work, and understanding their roles can help you make better decisions when it comes to investing. Bulls and Bears play an important role in trading as they provide insight on the direction of a particular security or market trend. By understanding their roles in trading, investors can more accurately predict future price movements and make more profitable trades. Dear friends, this is our first post. 😊 If you liked it, press <> 👍, share it on your social networks, groups - it will allow more people get interesting information, and we'll be able to delight you with new posts even more!♥️
INDEX:BTCUSDEducation
by Vestinda
4
Uncovering Wyckoff Accumulation Secret PatternWyckoff Accumulation & Distribution is a trading strategy that was developed by Richard Wyckoff in the early 1900s. It is based on the premise that markets move in cycles and that traders may recognize and use these cycles. In accumulation phase Wyckoff strategy involves identifying a Trading Range where buyers are accumulating shares of a stock before it moves higher. This allows traders to enter into positions at lower prices and benefit from the eventual price increase. Wyckoff Accumulation is an effective way for traders and investors to gain on market movements and make profits from their trades. The Wyckoff Trading Ranges feature a chart pattern called Descending Wedge. This pattern involves two trendlines, one falling and one rising, which converge to form a wedge shape. This pattern indicates that the price of an asset is likely to break out in the direction of the falling trendline. In my understanding, "Continuous Weakness" means a shift away from selling towards buying. Sellers fail to hold the pressure, so buyers take the lead leading in D,E: MARKUP phases. Kind regards Artem Shevelev Please check out my older Education Ideas Consider put like and follow my page for more updates)
BITSTAMP:BTCUSDEducation
by ArtemFuturesTrading
3
Understanding the Crypto Market CapThe cryptocurrency market has experienced significant growth but more recently saw a huge decline as sentiment soured due to several scams, insolvencies and a lack of regulation. Bitcoin, the first and most well-known cryptocurrency, has played a significant role in this growth. In this analysis, we will explore the relationship between the crypto market cap and Bitcoin. Bitcoin's dominance in the cryptocurrency market has been significant, with the market capitalization of Bitcoin accounting for over 40% of the total crypto market cap. As a result, changes in Bitcoin's price often have a ripple effect on the entire crypto market. When Bitcoin's price rises, it can create a positive sentiment across the market, leading to increased demand for other cryptocurrencies and driving up the total crypto market cap. Conversely, when Bitcoin's price falls, it can lead to a decrease in demand for other cryptocurrencies, causing the total crypto market cap to decline. There are several factors that influence the relationship between the crypto market cap and Bitcoin. One of the most significant factors is the overall sentiment toward cryptocurrencies. When the sentiment is positive, investors are more likely to invest in Bitcoin and other cryptocurrencies, leading to an increase in the total crypto market cap. However, negative sentiment towards cryptocurrencies can have the opposite effect, leading to a decrease in demand and a decline in the total crypto market cap. Another factor that can influence the relationship between the crypto market cap and Bitcoin is regulation. Regulatory changes, such as bans on cryptocurrencies or increased oversight, can have a significant impact on the market. For example, when China announced a crackdown on cryptocurrency mining and trading in May 2021, it led to a sharp decline in Bitcoin's price and a subsequent drop in the total crypto market cap. Furthermore, technological advancements and developments in the crypto space can also influence the relationship between the crypto market cap and Bitcoin. For example, the rise of decentralized finance (DeFi) has led to the development of new blockchain-based financial products and services, driving demand for cryptocurrencies and increasing the total crypto market cap. So, what does this mean for investors and traders? Understanding the relationship between the crypto market cap and Bitcoin can be useful in making informed investment decisions. When considering investments in cryptocurrencies, investors should carefully monitor the price of Bitcoin and its impact on the total crypto market cap. Additionally, keeping an eye on sentiment, regulation, and technological advancements can help investors make more informed decisions. However, it is important to remember that the crypto market is highly volatile and can experience rapid price movements, making risk management strategies crucial for success in this market.
CRYPTOCAP:TOTALEducation
by JinDao_Tai
The Simpliest Math Behind Every Succesful TraderWhat exactly is risk management? The ability to control your losses so that you do not lose all of your equity is referred to as risk management. This is a system that may be applied to everything that involves probabilities: trading, poker, blackjack, sports betting, and so on. Many inexperienced traders underestimate the significance of risk management or don't understand the basics when it comes to risk management. Would you risk $5,000 on every trade if you had a $10,000 trading account? Probably not. Because it only takes two consecutive losses in order to lose everything. 🧠 Now, let's imagine a thought experiment, in wich 🤩Alex and 🤨Peter are both traders with $10,000 in their accounts. Alex is a high-risk trader who puts $2500 risk on every trade. Peter is a cautious trader who puts $100 risk on every trade. Both apply a trading strategy that has a 50% success rate with an average risk-to-reward ratio of 1:2. For good example, let's imagine the next 8 trades had the following results: 4 losing trades in a row 4 winning trades in a row Here is the result for Alex: -$2,500, -$2,500, -$2,500, -$2,500 = -$10,000 Loss of the total account 😭😭😭😭 Here is the result for Peter: -$100, -$100, -$100, -$100, +$200, +$200, +$200, +$200 = +$800 Profits. 🏆 🏆 🏆 🏆 Can you tell the difference? See how risk management show the difference between being a profitable or losing trader. Peter managed to recover losing trades, and get into good profits after 8 trades. Alex didn't survive 4 trades... 🚨 You might have the finest trading strategy in the world, but if you don't manage how much you lose, you'll lose it all. It's only a matter of probability and time. However, following this basic example will assist you to make your trading more profitable. Simply give it a shot. Kind regards Artem Crypto Follow, Like and Share are appreciated! Take a look at my other Educational ideas below:
INDEX:BTCUSDEducation
by ArtemFuturesTrading
12
🔥WHY ALTCOINS FOLLOW THE BTC PRICE? A FULL GUIDE FOR TRADERS!🔥Hi, friends! I will explain why altcoins are following BTC and how traders can take advantage of this idea. The first and main crypto is Bitcoin. I am sure that 99% of traders/investors discover crypto through BTC. 📊THE 4 MAIN REASONS WHY ALTCOINS FOLLOW BTC: 🔥 Bitcoin is the most influential cryptocurrency: As the first cryptocurrency and the largest by market capitalization, Bitcoin has a significant impact on the entire cryptocurrency market. The price of Bitcoin often affects the prices of other cryptocurrencies, and it can cause other altcoins to rise or fall in value. Therefore, it's essential to keep a close eye on Bitcoin's price if you're trading altcoins, as it can indicate market trends and potential opportunities. 🔥 Altcoin prices are correlated with Bitcoin: Many altcoins have a strong correlation with Bitcoin's price movement. This means that if Bitcoin's price is rising, it's likely that the value of altcoins will also increase. However, if Bitcoin's price falls, altcoins are also likely to experience a decline in value. As such, tracking Bitcoin's price can provide valuable insights into the behavior of other cryptocurrencies in the market . 🔥 Bitcoin can act as a safe haven asset: During times of market volatility or economic uncertainty, Bitcoin has historically acted as a safe haven asset. This means that investors tend to flock to Bitcoin as a way to store value and protect their investments. As a result, Bitcoin's price can rise during times of crisis, and this can have an impact on altcoin prices as well. By monitoring Bitcoin's price, traders can gain insight into market sentiment and adjust their trading strategies accordingly. 🔥 Bitcoin is a market indicator: Bitcoin's price is often used as an indicator of the overall health of the cryptocurrency market. For instance, if Bitcoin's price is rising, it may indicate that the market is bullish and that investors are optimistic about the future of cryptocurrency. On the other hand, if Bitcoin's price is falling, it may suggest that the market is bearish and that investors are taking a cautious approach. By keeping an eye on Bitcoin's price, traders can gain a better understanding of market trends and make more informed decisions when trading altcoins. ✅HOW TRADERS CAN USE THIS BTC-ALTCOIN PATTERN I made 4 simple comparisons for you to show it. I used Bitcoin (as #1 crypto) and ETH (#1 altcoin). Take a look on the chart and the numbers on it. 🚩 1st case. If BTC falls at the beginning of the bull market = altcoins fall so much. In the first case BTC fell by -60-65% and ETH fell by -70-75%. It's not too much for ETH, but you can check the other alts. They fell by -85-90%. 🚩 2nd case. After the long consolidations altcoin grow higher than BTC. BTC made +35%, but ETH made +81%. It's 2 times bigger than BTC. 🚩 3rd case. BTC and altcoins during the rally grow equally. Except for some skyrocketing crypto as AXS, SOL and etc, of course. +452% for BTC and +480% for ETH. 🚩 4th case. New ATH is a time for altcoins' pumps. This is the time when they grow by 300-400% in a few weeks. As you see, BTC made +5%, but ETH +157%! 🔥SUMMARY. So, the 2nd case (after the consolidation) and 4th case (at the new ATH) is the best to catch strong altcoins movements for a hundred percent% and 40-50 or even 100RR. Now you can use it in your trading, cause you will know what BTC do now and how it will affect altcoins. I hope this idea was useful for you. Do you have your own notes? Write your most profitable BTC-atlcoins patterns in the comments! 💻Friends, press the "boost"🚀 button, write comments and share with your friends - it will be the best THANK YOU. P.S. Personally, I open an entry if the price shows it according to my strategy. Always do your analysis before making a trade.
Education
by Yuriy_Bishko
3
How to Use the Exponential Moving Average (EMA)The Exponential Moving Average (EMA) is a popular technical indicator used by traders to identify trends and make informed trading decisions. In this TradingView idea, we will discuss how to use the EMA in your technical analysis. Step 1: Understanding the EMA The EMA is a type of moving average that gives greater weight to more recent prices, making it more responsive to changes in the market. The EMA is calculated by taking the average of a set number of price data points over a specified time period, with more weight given to recent data points. Example: Let's say you are using 20-day and 50-day EMAs to identify trends and potential buy/sell signals. You notice that the 20-day EMA is above the 50-day EMA, indicating that the stock is in an uptrend. You then wait for the price of the stock to pull back to the 20-day EMA before buying in, as this could provide a good entry point. Conversely, if the price falls below the 20-day EMA, this could be a potential sell signal. Step 2: Identifying Trends with the EMA One of the primary uses of the EMA is to identify trends in the market. When the price of an asset is above the EMA, it is considered to be in an uptrend, while when the price is below the EMA, it is considered to be in a downtrend. Traders can use the EMA to identify potential buy and sell signals based on the direction of the trend. Example: Let's say you are using the 50-day EMA as a dynamic support or resistance level. You notice that the price of the pair has been consistently bouncing off the 50-day EMA, indicating that it is acting as a support level. You then decide to go long on the pair when the price approaches the 50-day EMA, with a stop loss below the EMA in case the price breaks through. Step 3: Using Multiple EMAs for Confirmation Traders can also use multiple EMAs to confirm trends and potential buy and sell signals. For example, using a shorter-term EMA, such as a 20-day EMA, in conjunction with a longer-term EMA, such as a 50-day EMA, can provide a more comprehensive view of the trend and potential trading opportunities. Example: Let's say you are using the 10-day, 20-day, and 50-day EMAs to confirm trends and potential buy/sell signals. You notice that the 10-day EMA is above the 20-day EMA, which is also above the 50-day EMA, indicating that the trend is up. You then wait for the price of gold to pull back to the 10-day or 20-day EMA before buying in, as this could provide a good entry point. Conversely, if the price falls below the 50-day EMA, this could be a potential sell signal. Step 4: Using the EMA as a Dynamic Support or Resistance Level In addition to identifying trends, the EMA can also be used as a dynamic support or resistance level. When the price of an asset is approaching the EMA, traders can use the EMA as a potential support or resistance level, depending on the direction of the trend. In conclusion, the EMA is a versatile and powerful technical indicator that can be used for a variety of trading strategies. You don't need a complex setup to be successful in trading, just using simple indicator such as EMA can make trading highly profitable. Vector -->
Education
by VectorAlgo
What is Bitcoin Halving?Bitcoin halving is a significant event on the Bitcoin network every four years. During this event, the block reward that miners receive for verifying transactions and adding new blocks to the blockchain is reduced by 50%. This means that the rate of new Bitcoin creation slows down, and the total supply of Bitcoin approaches its maximum limit of 21 million. Bitcoin halving is a programmed event and is built into the Bitcoin protocol to ensure that the inflation rate of Bitcoin remains controlled and predictable. The reduced rate of new Bitcoin creation and the expectation of scarcity can increase the value of Bitcoin, which has historically led to an increase in the asset's price in the months leading up to a halving event. Despite this, the market can be unpredictable, and the impact of halving Bitcoin's price is not guaranteed. However, the reduced supply of Bitcoin resulting from halving helps to maintain its value and ensure that it remains a finite and scarce asset. The previous Bitcoin halving occurred on May 11, 2020, at a block height of 630,000. At that time, the block reward for miners was reduced from 12.5 BTC to 6.25 BTC per block. This was the third halving event in Bitcoin's history, following the first halving in November 2012 and the second halving in July 2016. The next Bitcoin halving is expected to occur in march 2024, at which point the block reward will be reduced from 6.25 BTC to 3.125 BTC per block. After the first Bitcoin halving in November 2012, the price of Bitcoin increased by over 8,000% over the following year. After the second halving in July 2016, the price of Bitcoin increased by around 2,500% over the following 18 months. After the most recent halving event in May 2020, the price of Bitcoin initially experienced a slight drop but quickly recovered and went on to gain over 300% in value over the following year, reaching an all-time high of over $64,000 in April 2021. Thanks Hexa
INDEX:BTCUSDEducation
by HexaTrades
16