The crypto market is unstable, and this is good and bad news. On the one hand, it is highly risky to buy crypto because its rate can drop the next moment, and you will lose investments. But, on the other hand, the price may skyrocket, and you will multiply your initial investments. However, buy and selling cryptocurrency should not be random and groundless. Trading is not a casino game. There must be some reasons you decide to buy crypto and want to sell it at any given moment. To find those reasons, experienced investors learn the market and technical analysis, investigate cryptocurrency rates in charts and closely monitor external events around the asset.
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How to Predict Cryptocurrency Trends?
To make a correct decision on when to buy and selling cryptocurrency, advanced traders and investors rely on the following analysis:
- Tech analysis includes statistics on a coin’s price movements and trends. That are historical indicators, all-time-high, resistance levels, patterns, etc., shown in crypto charts.
- Fundamental analysis includes the assessment of external aspects implying the crypto market. For example, we can add some economic situations, crises, political factors, etc.
- Quantitative analysis includes technical and fundamental analysis to evaluate the market’s performance. Conducting this analysis, investors calculate financial indicators and ratios.
So it appears that trading and investment in crypto is not as easy as it may seem to be. However, successful investors can carry out these three mentioned types of analysis and based on their results, they buy or sell crypto.
Where to Buy Crypto?
We recommend buying digital assets on credible platforms like Binance, Coinbase, and WhiteBIT. These services enable many trading opportunities and transparent conditions and provide helpful information about trading and investment: charts, guides, articles, etc.
WhiteBIT is the largest crypto exchange in Europe. It offers a significant cryptocurrency volume of $1,22 billion a day. In addition, the platform provides demo trading, so if you are a beginner, you can practice buy and selling cryptocurrency on WhiteBIT for free.