• Crypto Lists
  • Bitcoin
  • Blockchain
  • Cryptocurrency
  • Altcoin
  • Advertise With Us
  • Join our Telegram Community
Newsletter
ItsBlockchain
  • Bitcoin
    Is the Russia-Ukraine War the Biggest Test for Bitcoin? Market Update

    Is the Russia-Ukraine War the Biggest Test for Bitcoin? Market Update

    Bitcoin ETFs could have the same result as CME group futures launch in 2017

    Bitcoin ETFs could have the same result as CME group futures launch in 2017

    featured image

    How Bitcoin can be hacked?

    keep bitcoin safe

    Keep Your Bitcoins Safe: All You Need to Know About Crypto-Cyberthreats

    featured image

    Bitcoin IRA – Everything You Need to Know

    A trillion dollar tsunami is about to hit Bitcoin

    A trillion dollar tsunami is about to hit Bitcoin

    featured image

    Why Bitcoin will always be the number one cryptocurrency? Explained

    Crypto markets mirror Wall Street’s fall- Loses 100 billion in 24 hours and Delta Plus Variant creates extreme fear

    Crypto markets mirror Wall Street’s fall- Loses 100 billion in 24 hours and Delta Plus Variant creates extreme fear

    On-chain shows Divergence against Bearish Price-Action, But Bitcoin continues to stay in the Re-Accumulation Phase

    On-chain shows Divergence against Bearish Price-Action, But Bitcoin continues to stay in the Re-Accumulation Phase

    Trending Tags

    • Crypto Gems
    • NFT
    • DEFI
    • Crypto Lists
    • Altcoin
    • Crypto Market
    • Guide
    • IBC Capital
    No Result
    View All Result
    • Bitcoin
      Is the Russia-Ukraine War the Biggest Test for Bitcoin? Market Update

      Is the Russia-Ukraine War the Biggest Test for Bitcoin? Market Update

      Bitcoin ETFs could have the same result as CME group futures launch in 2017

      Bitcoin ETFs could have the same result as CME group futures launch in 2017

      featured image

      How Bitcoin can be hacked?

      keep bitcoin safe

      Keep Your Bitcoins Safe: All You Need to Know About Crypto-Cyberthreats

      featured image

      Bitcoin IRA – Everything You Need to Know

      A trillion dollar tsunami is about to hit Bitcoin

      A trillion dollar tsunami is about to hit Bitcoin

      featured image

      Why Bitcoin will always be the number one cryptocurrency? Explained

      Crypto markets mirror Wall Street’s fall- Loses 100 billion in 24 hours and Delta Plus Variant creates extreme fear

      Crypto markets mirror Wall Street’s fall- Loses 100 billion in 24 hours and Delta Plus Variant creates extreme fear

      On-chain shows Divergence against Bearish Price-Action, But Bitcoin continues to stay in the Re-Accumulation Phase

      On-chain shows Divergence against Bearish Price-Action, But Bitcoin continues to stay in the Re-Accumulation Phase

      Trending Tags

      • Crypto Gems
      • NFT
      • DEFI
      • Crypto Lists
      • Altcoin
      • Crypto Market
      • Guide
      • IBC Capital
      No Result
      View All Result
      ItsBlockchain
      No Result
      View All Result
      Home technical analysis

      Top 5 Technical Indicators used in Crypto Market

      Ramaa Mohan by Ramaa Mohan
      October 11, 2018
      in technical analysis
      0 0
      0
      best indicators for cryptocurrency
      78
      SHARES
      968
      VIEWS
      Share on FacebookShare on Twitter

      The cryptocurrency market is infamous for its volatility and its sheer unpredictability. A token that is high right now need not be high in the next hour and vice versa. The instability of the market is something that all traders and market participants have to keep in mind and eventually figure out ways to deal with it and work around it to safeguard their digital assets.

       

      To this effect, many traders and market participants take up technical analysis of digital assets, tokens and coins. The technical analysis of assets helps bring down the instability and uncertainty by predicting a trend that the asset could take. Technical analysis essentially takes historical data, current data, market state and community response into account and then forecasts a trend that the coin or asset could possibly take.

       

      At the core of technical analysis, is mathematics. Using real time data like revenue, profit and turnover, the analyst figures out a mathematical model that predicts all the possible trends that the asset could take. And based on external factors like community support and market stabilisation, reveals which scenario is most likely to occur.

       

      Technical analysts in the past have said that they rely heavily on technical indicators. Technical indicators essentially help technical analysts figure out the longterm direction of the asset. There are six technical indicators that are commonly used by analysts to determine the trend that the asset is most likely to take.

       

      Best Indicators for Cryptocurrency

       

      • Relative Strength Index



        The relative strength index is a commonly used technical indicator. It originates from the stock market and is heavily used. The technical indicator essentially is used to determine and quantify losses and gains over a fixed period of time.

        This particular technical indicator is also used to determine whether a particular asset, with respect to the cryptocurrency market, is oversold or overbought and whether the market is bearish or bullish. The index is measured between 0 to 100. And in the cryptocurrency market if the index is below 50 it is bearish and above is bullish.  

        The only disadvantage of this method of predicting the trend of an asset is that it is very susceptible to sudden spikes and drops in the market and hence is very prone to giving out false results.

      • Moving Average Convergence Divergence



        The Moving Average Convergence Divergence (MACD) is an age-old technical indicator that has been used in all markets so far. It is essentially a number that is calculated and the result of which determines whether the asset is moving upwards or downwards and based on that it is decided whether to buy or sell.

        The Moving Average Convergence Divergence is calculated by subtracting the 26-day exponential moving average (EMA) from the 12-day exponential moving average. The result is said to be positive and is time to buy the asset if the 12-day EMA is higher than the 26-day EMA. And the result is said to be negative and in a downward direction if the 12-day EMA is lower than the 26-day EMA.

      • Average Directional Index



        The Average Directional Index is a technical indicator that determines the strength of a trend. It essentially determines whether the upward or downward trend of an asset or coin is sustainable, strong and thus trustable. The Average Directional Index is basically a quality check on the trend.  

        The index is also measured from 0-100. Depending on where the number stands, the strength of the trend is determined. Average Directional Index score below 50 is considered a weak trend and above 50 a strong one. A number below 25 is not considered as a trend at all.

      • On Balance Volume



        The On Balance Volume momentum identification method that on the basis of the volume of the trend determines the price of the asset in the near future. The On Balance Volume of a trend is calculated as a running total of positive and negative trading volumes on the asset.

        Depending on the volume, if it is decreasing the On Balance Volume will predict to what price the asset will fall and if it is increasing the OBV will predict to what price it will rise in the near future.

        This method can only be used granted that there is a huge difference or shift in the volume of the asset.  

      • Stochastic Oscillator



        The Stochastic Oscillator is a technical indicator that indicates and then intimates the momentum of the trend. The technical indicator is a momentum indicator that shows the user which way the trend is headed. The Stochastic Oscillator takes an average of 14 days before predicting which way the token goes.

        The result of the Stochastic Oscillator is generated by calculating the difference between the closing price of the asset and the range of prices over a particular time period. The result will usually lie between 0-100 and above 80 is an overbought asset and below 20 is an oversold asset.

        Must Read Does Technical Analysis Actually Work?

       

      Do check out Video tutorial to learn technical analysis

       

      Subscribe to biggest crypto news aggregator so you don’t miss any news on Telegram

        

      IBC-Transparent-Logo-(1)

      Subscribe To Our Newsletter

      Join our mailing list to receive Cryptocurrency investing and trading recommendations to your mailbox.

      You have Successfully Subscribed!

      Share31Tweet19Share8

      Subscribe to get notified on latest posts.

      Unsubscribe

      Related Posts

      ETHUSD 1000$

      Ethereum Price Prediction: could reach 1000$ in 2020.

      by Hitesh Malviya
      March 5, 2020
      1

      In this article, we will discuss Ethereum Fundamental analysis, Network analysis, Technical analysis and future price prediction for 2020. There...

      Technical Analysis : TRX/BTC

      Technical Analysis : TRX/BTC

      by Hitesh Malviya
      February 5, 2019
      0

      Tron is making headlines lately because of its impulsive price growth over 150% in two months. Tron was able to...

      Technical Analysis : BTC/USD

      Technical Analysis : BTC/USD

      by Hitesh Malviya
      January 22, 2019
      1

      The Cryptocurrency market is currently looking for a direction to upside. The whole market is in correlation with bitcoin price...

      Buy Ontology

      Why You Should Buy Ontology

      by Ramaa Mohan
      October 24, 2018
      0

      The cryptocurrency market and the blockchain industry is an extremely exclusive space. The reasons for its exclusivity range from being...

      Cryptocurrency Technical Analysis

      Does Technical Analysis Actually Work?

      by Ramaa Mohan
      September 18, 2018
      1

      “Technical Analysis” is a term that is very generously used in the cryptocurrency and stock market and their corresponding industries....

      Load More

      About Us

      We curate the best cryptocurrency projects with the intention of adding value for investors through the process of selecting, organizing, and looking after different projects available in the cryptocurrency market.

      • Trending
      • Comments
      • Latest
      featured image

      List of leading partners of Ripple, and How they use XRP?

      February 2, 2021
      Top 5 DeFi Projects on Tezos

      Top 5 DeFi Projects on Tezos

      December 26, 2022
      Trading Tips for Altcoins

      6 Lesser known Trading Tips for Altcoins

      February 17, 2020
      Be warned! Hackers are abusing API keys and stealing your funds

      Be warned! Hackers are abusing API keys and stealing your funds

      June 15, 2021
      Crypto Punks, Axie Infinity, and Open Sea have done more than $10.35 billion in sales combined

      Crypto Punks, Axie Infinity, and Open Sea have done more than $10.35 billion in sales combined

      September 26, 2021
      Top crypto coins for 2018

      Top 25 crypto coins to Buy in 2018 [UPDATED]

      October 4, 2018
      concordium blockchain

      Concordium Blockchain and Cryptocurrency are live to cater to ‘Establishment’ with Trust and Transparency

      June 9, 2021
      Polygon: The Swiss Army Knife of Web3

      Polygon: The Swiss Army Knife of Web3

      May 27, 2023
      Worldcoin: The Biggest Crypto Scam or Innovation?

      Worldcoin: The Biggest Crypto Scam or Innovation?

      May 18, 2023
      EIP-4844 Explained | The Biggest Ethereum Upgrade

      EIP-4844 Explained | The Biggest Ethereum Upgrade

      February 7, 2023
      What Blockchain Can Learn From Barnes & Noble and the Jacksonville Jaguars

      What Blockchain Can Learn From Barnes & Noble and the Jacksonville Jaguars

      January 17, 2023
      RINO Enterprise Wallet launches free Community Edition

      RINO Enterprise Wallet launches free Community Edition

      January 14, 2023
      Top 5 DeFi Projects on Tezos

      Top 5 DeFi Projects on Tezos

      December 26, 2022
      Modular Blockchains: The Next Big Thing in Web3

      Modular Blockchains: The Next Big Thing in Web3

      December 12, 2022
      • Top 10 Cheap Cryptocurrencies with Huge Potential in 2021 | Best Penny Crypto Coins

        Top 10 Cheap Cryptocurrencies with Huge Potential in 2021 | Best Penny Crypto Coins

        29635 shares
        Share 11843 Tweet 7402
      • A Mysterious Bitcoin Whale who sold 3000 Bitcoins at 58K$, Bought back 3521 Bitcoins in the last three days

        9933 shares
        Share 3972 Tweet 2483
      • Top 10 Low market cap altcoins to invest in 2021

        7269 shares
        Share 2906 Tweet 1816
      • Top 10 NFT Crypto Projects You Should Know

        7256 shares
        Share 2623 Tweet 1640
      • List of leading partners of Ripple, and How they use XRP?

        6148 shares
        Share 2459 Tweet 1537
      ItsBlockchain

      We are India’s first and oldest Blockchain & Cryptocurrency publication platform started in 2016. We are a one-stop destination for technical analysis, cryptocurrency recommendations, and Blockchain technology resources.

      Buying Guides

      • Buy Bitcoins in India
      • Buy Bitcoins in China
      • Buy bitcoins in Russia
      • Buy Bitcoins in Japan
      • Buy Bitcoins in Turkey

      Important Links

      • Home
      • About US
      • Privacy Policy
      • Promote Your ICO
      • Submit post

      Follow Us

      Contact us

      support@itsblockchain.com

      © 2020 itsblockchain.com - Designed and maintained by Fanatic Coders

      No Result
      View All Result
      • Bitcoin
      • Crypto Gems
      • NFT
      • DEFI
      • Crypto Lists
      • Altcoin
      • Crypto Market
      • Guide
      • IBC Capital

      © 2020 itsblockchain.com - Designed and maintained by Fanatic Coders

      Login to your account below

      Forgotten Password?

      Fill the forms bellow to register

      All fields are required. Log In

      Retrieve your password

      Please enter your username or email address to reset your password.

      Log In
      This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.