If you are trading cryptocurrency, the first question you face is how prepared you are because it is an essential factor determining whether you will only make money from trading. The most important fact to consider is that you need access to the latest trading tools, such as Bitcoin price charts and Fibonacci points calculators.
Many traders and professionals argue that profitable trading can only be done in the long run if done with the help of the right trading tools. Also, traders need to be educated and know how to use these tools. Part of the first trader’s instruction should include learning how to read a bitcoin chart.
Here, it is necessary to clarify that the Bitcoin chart is a graphical way to show price movements over time and is the beginning and basis of all technical analysis. Apart from fundamental analysis, technical analysis is the most useful trading method. Many traders believe that technical analysis is better than necessary for trading purposes.
Look for a BTC price chart
Traders view technical analysis as a way to apply formulas and measurements to the BTC price chart to predict what the market will do in the future. There are many great books about it. However, the best tools of modern times are YouTube videos and videos that provide a lot of information.
Traders need to know that there are two main types of prices and time charts used by professionals. The common element is that they refer to open, high, low, and closing prices. The time frame they draw depends on the degree of the trader’s choice.
Predict price fluctuations using a Bitcoin price chart
All price charts are used for one purpose, knowing where the price goes. There is a bar chart that resembles a long vertical line or a short vertical line, with a small horizontal line on the left and a small horizontal line on the right. Next, a candlestick chart is drawn, showing long or short lines, and small lines may extend from above.
Candlestick charts are usually drawn with colors. Green usually means that the price has risen during that period and red means that the price has fallen during that period.