🧠 Technical analysis vs fundamental analysis
Which one is better in the cryptocurrency market? Let's settle this! 👇
🎯 First: What is fundamental analysis? (Fundamental Analysis)
Fundamental analysis means you study the "real value of the project", not just its movement in the market.
✅ You ask questions like:
Who is the founding team?
Does the project have a real goal?
How many users are there?
Are there strong partnerships?
How is the currency distributed? And are there people holding a large percentage of it?
💡 Real-world example:
When you look at Ethereum, you see it's a network with thousands of applications, active developers, and strong technical updates like The Merge = A project with a solid foundation 👷♂️
📉 So, what about technical analysis? (Technical Analysis)
Technical analysis means you look at the chart and try to predict the price through:
📊 Support and resistance lines
📈 Indicators like RSI, MACD
📉 Candlestick patterns
💡 Real-world example:
A person noticed that Bitcoin broke a resistance level at $30,000 and concluded that it might continue to rise → So they buy based on that.
🤔 So... Who wins in the crypto world?
The correct answer?
⚖️ Both complement each other!
Fundamental analysis asks you: Does the currency deserve to be purchased at all?
Technical analysis tells you: When is the right time to enter? And when to exit?
🎮 A simple example from life:
Imagine you want to buy a PlayStation 🎮
Fundamental analysis = You read the reviews, compare prices, and check the specifications.
Technical analysis = You look for discounts, offers, and follow the price to buy it at the best time.
The same goes for crypto
🎓 My advice?
If you're a long-term investor → Focus on fundamental analysis
If you're a day trader or speculator → Technical analysis is your weapon
But what if you combine both? Then you're dangerous 😎💼
