Learn Bitcoin Trading Courses

Bitcoin is one of the largest financial market in the world. Bitcoin traders invest in the btcusd market popularly known as Bitcoin for speculation purposes. Bitcoin traders are attracted to bitcoin trading because of the following reasons:

Bitcoin Trading Leverage - bitcoin leverage means that traders can make more money in bitcoin trading by investing little of their own capital. This is because traders can borrow money to transact with from their online broker using leverage.

Liquidity - The fact that bitcoin trading is one of the largest financial market in world means that there are very many traders trading the btcusd market at any time of the day or night during the btcusd market week. The fact that there are many traders investing in this market make the btcusd market a very liquid market meaning trader can open and close trade in a matter of seconds.

Low Transaction Cost - Because in bitcoin trading there are many traders trading at any one given time means that trade costs are lower because of this big volume of trades taking place in btcusd market. The only transaction cost paid by the trader is the spreads; no other cost is paid by the traders. The spread is also only when a trader opens a trade: therefore if a trader does not trade then they don't pay any cost.

This learn bitcoin tutorial presents the various bitcoin education courses that technical traders or traders who want to learn analysis can learn from. After traders have learnt the basics of bitcoin trading it's then time to learn more about trading analysis topics that they can use to trade with.

The analysis lessons can guide beginners on how to study the various trading analysis concepts.

Basics of Bitcoin Analysis

Candle Bitcoin Charts

For technical traders the basic trading analysis tool that they use is the crypto chart. There are three types of charts: line charts, bar charts & candlestick charts. The type of chart most commonly used by bitcoin traders is the candlestick chart. This is because the candlestick chart has a visually appealing format that clearly represents the movement of bitcoin prices, by displaying different colors for different movements; that blue color when bitcoin prices close higher than they opened or red colour that represents when bitcoin prices close lower than they open. In addition these candles show the distance between the open and close bitcoin price and this forms the body of the candlestick. This body of the candlestick is looks similar to the wax part of a real candle. The highest point of the bitcoin price will be drawn with what is known as a shadow, the shadow is a thin poking line that is drawn above the candlestick & it looks similar to the wick of a real candle. There is also another shadow drawn below the candlesticks and this one represents the lowest point of the bitcoin price.

The information drawn by the candlesticks is known as OHCL - which represents Opening bitcoin price, High, Low and Closing bitcoin price.

Japanese candlesticks were developed in Japan by a traditional rice trader who used to trade futures, his name was Homma Munehisa, he later moved to trading the Tokyo market that was in 18^th Century & he made a fortune trading the Tokyo market using these candles: He is said to have made over 100 consecutive winning trades.

In addition to showing the graphical representations of bitcoin price traders also use candle patterns to gauge and determine the strength of the bitcoin price movement. Bitcoin traders also study these candlestick patterns so that to learn how to analyze & trade signals from the various candlestick patterns. Bitcoin traders wanting to about the various candlesticks patterns can learn from our bitcoin section under the analysis topics, the various candlestick patterns used to trade Bitcoin are:

1.Long & short Candles

2.Spinning Tops & Doji Candles

3.Hammer Bitcoin Candle Pattern & Hanging Man Candle Pattern

4.Inverted Hammer BTCUSD Crypto Currency Candlestick Pattern and Shooting Star Candle Pattern

5.Piercing Line BTCUSD Crypto Currency Candlestick Pattern and Dark Cloud Cover Candle Pattern

6.Morning Star Candles, Evening Star Candlesticks and Engulfing BTCUSD Candlesticks Patterns

Support and Resistance Levels

Some traders also refer to these levels as support & resistance lines. Concepts of support & resistance levels refers to bitcoin price areas where it's difficult for the bitcoin price break through & move beyond these levels.

At these levels traders are likely to perceive the bitcoin price of the bitcoin instrument as being cheap or as being expensive.

Support

Support prevents the bitcoin price of an asset from getting pushed down-ward. Support levels are hence considered as the floor because these bitcoin price levels stop the btcusd market from moving bitcoin prices downwards past a certain point.

Resistance

Resistance prevents the bitcoin price of an asset from getting pushed up-ward. Resistance zones are hence considered as the ceiling because these bitcoin price levels stop the btcusd market from moving bitcoin prices upwards.

Therefore, these levels might be used by trader to determine where to open trade positions at the points where there is a high risk:reward ratio. For example a trader may open a buy bitcoin trade at a support level and place a stoploss order a couple of pips below that level. The trader buys at this point because they perceive the bitcoin price to be cheap. A trader may open a sell bitcoin trade at a resistance level and place a stoploss order a couple of pips above the resistance area. The trader sells at this point because they perceive that at that point the bitcoin price is very expensive and therefore there will be less people willing to buy bitcoin because the bitcoin price is very expensive and therefore the bitcoin price is likely to start moving down soon rather than continue to move upwards.

BTCUSD Trend Lines

Bitcoin Trend lines are used to determine the general direction of the market.

Sometimes support and resistances are formed diagonally in a similar way like a stair-case. This forms a trend, a btcusd crypto currency trend is a sustained movement in one direction either upward or downwards.

A bitcoin trend line depicts these points of support and resistance for the bitcoin price.

Bitcoin Trendline is an aspect of trading analysis that uses line studies to try and predict where bitcoin price will move next.

A bitcoin trend line is a straight diagonal line that connects two or more bitcoin price points and then extends into the future to act as line of support or resistance.

Bitcoin Trendlines are based upon the idea that markets move in trends. Bitcoin Trendlines are used to show three things.

The general direction of bitcoin price movement up/down.
The momentum of ruling bitcoin price movement and
Where future support and resistance of the current bitcoin price move are likely to be located.

If a bitcoin trend line forms in a certain direction then bitcoin price usually move in that direction for a period of time until a time when the bitcoin trend-line breaks-out.

Upward bitcoin trend-line - If bitcoin price is moving up then a line is formed that's also heading up. This line is called an upward bitcoin trend line.

Downwards bitcoin trend-line - If bitcoin price is moving down then a line is formed that also moves down. This line is called a downward bitcoin trend line.

Moving Averages BTCUSD Trading Technical Indicator

MAs are also used in bitcoin trading to determine the general direction of the market. Moving Averages is a btcusd crypto currency trend following technical indicators which is used to show the direction of the market.

Most common method of determine the direction of the bitcoin trend is by using two moving averages to form the MA cross over bitcoin system. Moving average cross over system is explained in our bitcoin strategies section. The Moving Average cross over trading strategy is made up of two moving averages one with a lower period and the other with a higher period, for example a trader may use the 5 period MA & the 7 period MA, when bitcoin price is heading up the 2 moving averages will also be moving up and when btcusd crypto currency prices are moving down the 2 MAs also will be moving down. Traders also can identify when a bitcoin trend changes its direction because the two moving averages will cross over each other once there is a change in direction of the bitcoin price movement. This crossover signal is used by traders to determine when to open a new trade after the crossover signal has been generated & the two Moving Average start to move in the same direction. This crossover signal is also used to determine when to close a trade and take profit after there's a cross-over in opposite trend direction.

Bollinger Bands

Bollinger Bands is a very popular indicator, it is also a bitcoin trend following technical indicator and it is used to show the general bitcoin trend of the btcusd market. Bollinger band is made up of 3 lines, these are:

·Middle band - this is a moving average of 20 bitcoin price periods

·Upper Band -shows upper limit of bitcoin price

·Lower Band - shows lower limit of bitcoin price

The middle band will show the general direction of the bitcoin trend whether up or down.

The upper band is where a trader will open a sell bitcoin trade if the btcusd market bitcoin trend is down or close their buy bitcoin trade and take profit at this level if the btcusd market is trending upwards.

The lower band is where a trader will open a buy bitcoin trade if the btcusd market bitcoin trend is up or close their sell bitcoin trade and take profit at this level if the btcusd market is trending downwards.

Bitcoin Trading Fibonacci Retracement Areas

Fibonacci retracement levels are popularly used to determine the levels where bitcoin price retracements are likely to go up to. Bitcoin traders use these retracement levels to determine where to open trades after a bitcoin price pullback.

Fibo retracement levels are covered in the learn bitcoin tutorials section of this website under the analysis topics. Trader can learn how to use the Fibonacci retracement levels, which levels are commonly used to open trades and how to draw these retracement levels using Fibonacci retracement technical indicator.

All these analysis methods are also covered on the bitcoin trade strategies section of this learning bitcoin tutorial site and trader can learn more about these concepts & get example of these concepts are used in trading from this bitcoin strategies section that has numerous screenshots illustrations of these technical tools and how they are drawn on crypto charts along with explanation of they are used to generate bitcoin signals.

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