The concept of market capitalization is one of the most important keys that traders need to understand the volatile market. It is the result of multiplying the price of one coin by the number of coins in circulation. 🔸 Formula: Market capitalization = price × circulating supply A simple example: If the price of a coin is $2 and there are 5 million pieces, the market capitalization would be $10 million.
In the trading world, not everything goes as we always plan. Sometimes we enter a trade confidently, but the price moves against our expectations. This is where what is known as trade cooling comes into play. 🧊 Meaning of trade cooling: Trade cooling is a strategy used by some traders when they lose a trade, and it means: > Adding a new trade in the same direction at a better price to reduce the average entry price, thus reducing the size of the loss when the price rebounds.
What do you need to know before executing your trades?
Liquidity plays a crucial role in the speed and fairness of trade execution in the cryptocurrency market. It reflects how easily a digital asset can be bought or sold without significantly affecting its price.
🔍 Why is liquidity important? During times of low liquidity, you may encounter issues such as:
Slippage: Executing a trade at a different price than intended.
الرسم البياني هو أداة تعرض حركة الأسعار خلال فترة زمنية معينة. من خلاله يمكن رؤية الاتجاهات، القمم، القيعان، الأنماط، وكل شيء تقني. أنواع الرسوم البيانية الأساسية: 1. الشموع اليابانية Candlestick Chart (الأهم والأكثر استخدامًا): كل شمعة تمثل فترة زمنية (1 دقيقة، 5 دقائق، ساعة...). كل شمعة تحتوي على: سعر الافتتاح (Open) سعر الإغلاق (Close) أعلى سعر (High) أدنى سعر (Low)
2.الرسم الخطي Line Chart: يرسم خطًا من سعر إغلاق إلى سعر إغلاق. بسيط لكنه لا يعطي تفاصيل دقيقة.
3.الرسم العمودي Bar Chart: يظهر سعر الافتتاح، الأعلى، الأدنى، والإغلاق. مفيد لكن أقل وضوحًا من الشموع.
It is the study of price movement on charts with the aim of predicting future price trends. It does not rely on news or economic data, but relies only on charts, price, and time.
💎The difference between technical analysis and fundamental analysis:
Technical analysis: - It relies on price and movement of the market by analyzing charts with the aim of predicting
Model formation The body of the candle is small and consists of one candle. Its upper shadow is at least twice the body of the candle, and it has a very small lower shadow or may not have a lower shadow at all. It comes at the end of a downward trend to indicate the possibility of a reversal. #TradingTypes101 #Bitcoin2025
Hammer Pattern It is a pattern that resembles a hammer. The body of the candle is small and consists of one candle. Its lower shadow must be at least double the body of the candle. It should have a very small upper shadow or no upper shadow at all, and the longer the lower shadow is compared to the body of the candle, the better. It appears at the end of a downtrend to indicate potential reversal.
In the world of crypto, there are no shortcuts to success. The undeniable and immutable truth is: learning comes first and last. Those who enter this market without knowledge risk their money, not just their future. Learning is not limited to knowing platforms or currencies; it lies in mastering technical analysis, which is the key to understanding market movements and making informed decisions.
Technical analysis is not a luxury; it is a necessity. Through it, you can read candlesticks, identify trends, distinguish support and resistance, and handle indicators with confidence. You might not believe how much your perspective will change once you learn to read charts well; each candle tells you a story, and each pattern warns or reassures you.
From experience, learning is the only weapon that grants you sustainability and success. Random trading is a short road to loss. Start by learning the basics, dedicate time daily for practice, and do not rush profits, for knowledge is the primary gain.