MA BTCUSD Analysis and Moving Average Trading Signals
An indicator which calculates the average value of bitcoin prices (or any given prices data sequence) over a pre-determined period of time.
Only significant difference between the various types of MAs is weight assigned to most recent data. Simple MAs apply equal weight to the bitcoin prices. Exponential and weighted averages apply more weight to recent bitcoin prices.
Explanation
The most popular technique of analyzing the MA is to compare the relationship between the MA of the bitcoin price with the bitcoin price itself. A buy cryptocurrency signal gets generated when the bitcoin price rises above its MA and a sell cryptocurrency signal gets generated when the bitcoin price falls below its Moving Average.
Moving Average Technical Indicator
Buy and Sell Bitcoin Trade Signals generated by MA crossing above or below the bitcoin price action.
MA Crossover Strategy
Also popular are various types of Moving Average cross over systems. Such systems often include 2 or more moving averages crossing above/below each other & perhaps even utilizing other technical indicators as additional entry & exit confirmation signals. Combinations of conditions for these types of systems are almost limitless.
Moving Average Crossover System