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Three Things to Look for in Market Charts for Crypto and What They Mean
Charts can be confusing, especially when they are only for a year old crypto. This is why the other variables listed below are valuable when assessing whether to include a currency in your portfolio. These will help you decide on a good time to buy, or ‘entry point’ as well when to cash out or what is known as an ‘exit’ point.
Learning to read some basic information about a potential investment is a really good way to get a feel for something that you may include in your portfolio. Aside from research that you can generally conduct about a specific currency, which I wrote about in this article, you can look at its market performance so far and look at how healthy its circulation is. The more activity a currency has, the better.
Firstly, it is possible to identify cycles in charts that span over a few years. For example, each time there was a halving event with Bitcoin, there was a massive price increase in the months after. Every time this happened, the price grew higher than the last. While this is by no means a guarantee that this will happen again in the future — all factors indicate that this is highly probable, depending on other variables.
Other noteworthy events include a new coin’s release across different platforms. There can be very a quick surge in prices in the…
