Xcel Token

In the previous blog we went through all the markers that you need to remember while you are technically analysing the market. In this blog we will be going look at two types of Technical Analysis. Read on to find out more. Elliott Wave Analysis The  Elliott Wave principle  is a form of technical analysis that cryptocurrency traders use to analyse market cycles and forecast market trends by identifying extremes in investor psychology, highs and low in prices and other collective factors. Elliott Wave traders believe that markets are affected by collective investor psychology, or crowd psychology, and that it moves between optimism and pessimism in natural sequences. It seems to be a discipline suited for cryptocurrency traders because, at this time, they are being solely driven by investor psychology since there are no true underlying fundamentals backing its price rise other than aggressive buying due to limited supply. The key to success when using Ell...

Since we are already acquainted with what Technical analysis is, ( please read the Introduction blog to get started if you already haven’t ) let’s jump right into the aspects of technical analysis that you should definitely pay attention to:   Trend Lines Trend lines, or the typical direction that a coin is moving towards, can be most beneficial for traders of crypto . That said, isolating these trends can be easier said than done. Crypto assets might be substantially volatile, and watching a Bitcoin or crypto price movement chart will probably reveal a selection of highs and lows that form a linear pattern. With that in mind, Technicians understand that they can overlook the volatility and find an upward trend upon seeing a series of higher highs, and vice versa – they can identify a downtrend when they see a series of lower lows. Additionally, there are trends that move sideways, and in these cases, a coin doesn’t move significantly in either direct...

Crypto traders have several tools to evaluate the cryptocurrency market. One of them is a method known as Technical Analysis . Using this process, traders can get a improved understanding of the market sentiment and isolate significant trends in the market. This data can be used to make more educated predictions and wiser trades. Tech Analysis considers the history of a coin with price charts and trading volumes, no matter what the coin or project does. As opposed to technical analysis, fundamental analysis is more focused on establishing if a coin is over or under valued. To get a better idea of technical analysis, it is crucial to understand the fundamental ideas of Dow Theory that tech analysis is based on: 1)     The market considers everything in its pricing. All existing, prior, and upcoming details have already been integrated into current asset prices. With regards to Bitcoin and crypto, this would be comprised of multiple variables like current, past,...