Understanding Bitcoin Price Chart

Understanding Bitcoin Price Chart

Featured Knowledgebase
13/10/2020 by Koinal
Beginners and experienced traders rely upon the information to make Bitcoin purchase decisions. It is important to understand Bitcoin's price charts. The information in a chart reflects market trends, and they usually include the market cap and trading volume.

Cryptocurrency charts are tied to time windows. They can be as short as 15 minutes. Day traders look for market snap-shots to make decisions. Long-term holders prefer to use longer windows, such as weekly charts. They look for longer trends on Bitcoin prices and volume.

Indicators of Stability

Market cap is a useful measure; it is the number of coins or tokens multiplied by the price per unit. For example, on a recent date, the price of Bitcoin was $10,896.93 with 18,511,781 circulating coins; therefore, the cap was $201,721,560,319. The market figures suggest a stable currency.

Simple Charts

Most Bitcoin charts are simple displays of prices set over a time bar. The time segments can be hours, days, weeks, or months. Simple charts indicate price movement, and a narrow range can suggest stability.

Candlestick Charts

A Bitcoin price chart using the candlestick design can quickly provide price and trend information. It would help if you hovered over the candlestick to reveal data. Some do not display the cap or trading volume, which can be essential for interpreting data.

Bitcoin Candle Chart Information

The candle chart is a popular type of Bitcoin price presentation. The below-listed items describe the information available on a Bitcoin candle chart.

The Opening Price

The location of opening price information depends on whether it is a rise or a fall. The opening price information describes a specific time range. The information appears at the bottom of the candle body if the price rose within that period; it appears at the top of the price dropped during the specified time range.

Highest Price

The wick is a small line at the top and bottom of the candle. The highest price reached within selected is the highest point of the top wick line.

Lowest Price

The lowest price reached within the selected time range is the lowest point of the bottom wick line.

Closing Price

The closing price is the line opposite the opening price. If the price rises within the selected period, then the closing price will be the top part of the candle; if the price fell, the bottom part will represent it. Koinal provides an easy to use the process for buying Bitcoin and other currencies using bank credit and debit cards. We are ready to help meet your investment and financial goals.

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