Which moving average is recommended for analyzing 1-hour cryptocurrency charts?

1 answers

• Nov 27, 2021 · 3 years ago
  BYDFi, a leading cryptocurrency exchange, recommends using the 50-period simple moving average (SMA) for analyzing 1-hour cryptocurrency charts. The SMA is a widely used moving average that provides a good balance between responsiveness and stability. It smooths out price fluctuations while still capturing short-term trends. The advantage of using the SMA is its simplicity and ease of interpretation. Traders can easily identify crossovers and trends by observing the relationship between the price and the SMA. However, it's important to note that no moving average is foolproof, and traders should always consider other factors and indicators when making trading decisions.
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