Category: 1. What is Technical Analysis?
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Relative Strength Index (RSI)
Relative Strength Index, usually abbreviated to RSI is a useful indicator of whether a particular cryptocurrency is overbought – overvalued – or oversold – undervalued. It is what is known as an Oscillating Index, as it returns a value on a scale from 0-100. An RSI value above 70 tends to suggest overbought conditions, while…
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Moving Averages
A Moving Average is literally the average price measured for a fixed period that moves over time. It is best understood via an example. Bitcoins seven day moving average will average the price for the previous seven days and update that over time. A price chart will plot the moving average alongside the actual price…
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Measuring Volatility
Returning to bitcoin as our example, the amount by which its price goes up and down is measured by Volatility. Volatility is what determines the level of risk you take on in trying to make a successful trade. If you look at a daily bitcoin chart by eye, you’ll see peaks and troughs that look…
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What is Technical Analysis?
What you’ll learn The concept of volatility Understand Moving Averages Understand what Relative Strength Index If you’ve read every article in Learncrypto’s section introducing how to trade cryptocurrency you should, by now, understand two key distinctions. Taking long term positions based on Fundamentals – as an Investor – and short term decisions based on Technical…