How to choose a Perfect Trade ?

What is trading?

whenever you think of trading. you’re probably thinking of someone sitting behind a computer desk looking at the chart. trading is just buying and selling an asset to profit from price fluctuations. it doesn’t have to be on a chart.

Trading of a cryptocurrency?

when we talk about trading in cryptocurrency the same concept applies here.

key components of trade?

Buyer: Is purchasing an asset. for ex: Bitcoin or Ethereum

Seller: Is offering/ selling an asset. for ex: bitcoin or Ethereum

Broker: a facilitator of buying and selling for ex: Binance, poloniex.

what do you mean by perfect trade?

perfect trade means when you choose a trade. that trade is moving according to your scenario your thinking on your setup and ended by hitting profit targets is called a perfect trade.

How to do Perfect trade?

Perfect trade totally depends on the perfect analysis. It is very important to analyze the market in cryptocurrencies as due to fluctuations.

there are basically three steps to analyte a market.

Technical analysis

2. Fundamental analysis

3. Market sentiment analysis

In Trading, technical analysis is a method of forecasting the direction of prices through the study of past market data, primarily price and volume.

it can be done by chart patterns, price action, volume or indicators, etc.

for best technical analysis and profit-making strategy. you can also join our telegram

like in stock markets, cryptocurrencies also include fundamental analysis. fundamental analysis includes The study of the Target market, competitors, Roadmap, Team, Partnerships, Liquidity & volume.

you get all this information from the whitepaper, community forums, Social media channels, and the official website of the project.

But if you want any suggestions regarding any particular project you can contact us directly via Gmail or Telegram.

Market sentiment analysis in Cryptocurrencies:

Market sentiment is the collective attitude of traders and investors towards a financial asset in the market. The concept exists in all financial markets, including cryptocurrencies. Market sentiment does have the power to change the trend in the market i.e. uptrend or downtrend

Still, favorable market sentiment doesn’t always lead to positive market conditions. Sometimes, strong positive sentiment (it’s going to the moon!) may come before a market correction or even a bearish market.

Traders can analyze these sentiments to predict potentially profitable trends. Market sentiment doesn’t always consider a project’s fundamentals analysis, but they might be linked sometimes.

Let’s take Bitcoin as an example. A lot of Bitcoin’s demand in its bull run (on October 2021) likely came from social media hype (which led to positive market sentiment). Many traders and investors bought Bitcoin without considering the project’s tokenomics or goals, but only because of the current market sentiment. Even a single tweet from a figure like Elon Musk is enough sometimes to cause positive or negative market sentiment.

To know market sentiment regularly. follow us on Telegram.

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