Which time frame should be used to calculate the SMA for Ethereum and other popular cryptocurrencies?

1 answers

• Feb 18, 2022 · 3 years ago
  At BYDFi, we recommend using a combination of shorter and longer time frames to calculate the SMA for Ethereum and other popular cryptocurrencies. This approach allows traders to capture both short-term and long-term trends, providing a more comprehensive view of the market. For example, you could use a 50-day SMA to identify long-term trends and a 10-day SMA to capture shorter-term movements. By combining these two time frames, you can gain a better understanding of the overall market sentiment and make more informed trading decisions. However, it's important to note that the choice of time frame should be based on your individual trading strategy and risk tolerance. It's always a good idea to backtest different time frames and analyze their historical performance before implementing them in your trading strategy.
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