Is there any tool to predict the value behavior of cryptocurrencies?

10 000 question challengeIs there any tool to predict the value behavior of cryptocurrencies?
HowToToken Team Staff asked 3 years ago
1 Answers
anonymous answered 3 years ago

One of the most desirable things in the cryptocurrency market is knowing when to buy and sell in order to make a profit. One of the ways to have a criterion to take such decisions, is analyzing the signals through a technical analysis, a tool that will provide us with the necessary parameters to be able to make a prediction and know their respective reliability. Basically it consists in the meticulous observation of the historical purchase / sale of cryptocurrencies and from these registers we can predict in the near future how the cryptocurrency value will behave.

This technique has amazing potential, due to the volatility of the cryptocurrency, the presence of different bots that seek an automated gain and the speculative natural dynamics of the market; they can generate the ideal scenary to recognize a pattern of consistent behavior in a certain time. However, this technique is not susceptible to quantifying the effect that would generate sudden news that can abruptly change the market trend. Finally, it is important to mention that this is just another tool that provides valuable information but that is not entirely infallible due to the chaotic nature of the cryptocurrency market.