🎯 Understand the Indicators… Control the Market! Your Golden Guide to Decoding BTC/USDT Professionally
Do you want to trade with confidence and read the market like the professionals?
Technical indicators are your tools to understand the trend, momentum, and liquidity. Here’s a simplified and inspiring explanation of the most important indicators in BTC/USDT analysis, with practical examples to help you make smarter trading decisions:
📈 Moving Averages MA (7, 25, 99):
- Usage: Determine the overall price trend.
- Meaning: If the price is above MA, the trend is upward; if below, the trend is downward.
- Example: The current price 116,861.06 is below MA(25) at 117,199.48 ➜ Temporary selling pressure, but its proximity to MA(99) at 116,747.06 indicates potential support.
💪 Relative Strength Index RSI (6, 14, 24):
- Usage: Measure momentum and identify saturation areas.
- Meaning:
- Above 70 ➜ Overbought
- Below 30 ➜ Oversold
- Example: RSI(6) at 30.16 ➜ The market is in an oversold condition… potential opportunity for a rebound.
🔄 MACD (DIF, DEA, MACD):
- Usage: Identify crossovers between averages to determine reversals.
- Meaning:
- DIF crossover above DEA ➜ Buy signal
- DIF crossover below DEA ➜ Sell signal
- Example: MACD at -65.32 ➜ Strong negative crossover, but if momentum starts to change, we may see a reversal soon.
