Cryptocurrency analysis is done in two main ways:
Technical analysis: Focuses on price history and trading volume to predict future price movements. It uses charts, patterns, and mathematical indicators (such as moving averages) to identify trading opportunities.
Fundamental analysis: Focuses on the actual value of the currency by studying information about the project itself (such as its concept, team, technology, usage, regulations, economy, and news).
Basic idea:
Technical: Looks at charts to determine price direction.
Fundamental: Looks at the quality and strength of the project to determine its value.
Best: Use both methods together to gain a complete view before making a buy or sell decision. Technical helps determine the right time, while fundamental helps determine the right asset.
