What does it mean if a coin makes a Doji Candle during trading?
A Doji Candle is a specific type of Candlestick Pattern in crypto trading that indicates Uncertainty or Indecision in the market.
When the Opening Price and Closing Price of a candle are almost equal, it is called a Doji. This candle's shape resembles a Plus Sign (+) or a Cross, as the Body of the candle is very small or negligible, with long Wicks (Shadows) on both sides.
A Doji indicates that there is an equal struggle between Buyers and Sellers.
☆ If a Doji forms in an Uptrend (rising market), it may signal that the market could go down.
☆ If a Doji forms in a Downtrend (falling market), it could potentially be a signal for Market Reversal.
For example, if Bitcoin is rising rapidly and suddenly forms a Doji candle, it may indicate that Buyers have weakened and the market could go down.