Does technical analysis work in crypto trading?

[GreatArkansas]

For all my 5 months in trading, I'm learning only technical analysis but now everyone is talking about the concept of "Smart Money". So I think that trading is changing and speculators should stop trading based on technical analysis. Or smart money just a concept that cannot possibly work in the market,

I will always go with Technical Analysis. You will see it, most professional traders and profitable are technical people, those traders who are technical are smart enough to analyze charts and price actions.
We can't say the smart money is just a concept, for sure it also works but we should just not disregard the technical analysis.

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[Volimack]

The high volatility of cryptocurrencies allows traders to make good money on price fluctuations but relying solely on technical analysis in trading is a bad idea. A trader must constantly analyze the market through his own knowledge. By studying past market data its potential price movements are not accurately predicted. Technical analysis does not attempt to determine the true value of an asset. Trading is difficult if you don't have proper knowledge about your trade.

[Hypnosis00]

Don't get distracted by what people are saying OP. Technical Analysis is very useful in trading, don't give a doubt about that. Every trader has their way of trading and market discoveries. The reason why Technical analysis exists is because the majority have seen how important trading is and how it affects our decision-making. If you have heard OP that people are also interested in other things, then let it be. The important in trading is that we are comfortable with what we are doing and we believe that we can perform so well. It makes no sense to have a lot of trading strategies if we never understand them and never see good results.

[milewilda]

For all my 5 months in trading, I'm learning only technical analysis but now everyone is talking about the concept of "Smart Money". So I think that trading is changing and speculators should stop trading based on technical analysis. Or smart money just a concept that cannot possibly work in the market,

Definitely yes, TA works and I know a lot of traders who are making big money by doing trade and analyzing the price trend. You just have to find the perfect indicators that can tell you when to buy and sell, and you’ll be good.

There is no shortcut in trading, you have to analyze and smart money will not always be there. The moment you trade without any analysis, I consider it as gambling and the risk are high if you’ll do it.

the thing with TA sometime it can be a self fulfilling prophecy which isn't a bad thing since we are trying to make money off the market but sometime also could be wrong because sometime the market can be moving on its own and even getting some manipulation.
but yeah, when there's nothing else to hold on when trading, these TA should be coming in handy, at least it gives the prediction that other people are also doing, and sometime the TA works out just better than just purely speculating.
though in my opinion i would never rely too much on these kind of analysis and would instead see whether there are good news or not in the market thats gonna be coming out and whether there are some rumours, after all, i prefer to depend on my own insight on whether some certain coin gonna be rising or not based on the real thing thats happening around the world.
this method also saves me from losing too much on USTC collapse as well.

TA wont really be giving out that assurance for you to be able to predict on where prices could go on which just like on what most people been saying on here or simply we do know that there's no such thing about guarantees because market is really that way too unpredictable and there's no way that we could really be able to know on where the market would really be going on which means that no matter how good your TA
is, it doesnt really give out assurance that it would be making a good price analysis. Some might be seeing this to be a complete trash or something not to be relevant but sooner or later they would really be able to see
on how  good on making use these tools on trying out to make some patterns on which it do at least giving out that kind of idea on where market could possibly go.

Does TA work? You would say yes if it does give profits and no when it do ends up on being a loss. So it would really be that depend but totally learning TA would be
your best approach on which on the time that you do choose on making yourself on doing trading. You would sooner find its relevance because you cant just make trades
on having that pin pointing kind of selection whether you should buy or sell.

[AakZaki]

Knowledge is important because it will save us from more problems and creates us opportunities to earn from the system with ease efforts. Though these Knowledge can not be gotten in a day or week, but with constant learning the basis of the market, everything will follow suits ans blend. Technical analysis work effectively in crypto trading and foreign market. We have only two main strategies in trading, they're fundamental and technical analysis and a trader must learn one of these strategy to ensure he or she is thoroughly grinded in the system.

Not only these two strategies, you also need to look at your trading psychology or mentality, because this will determine the final results of all the trades you make. The final decision depends on your trading mentality at that time, if you panic too much it will be a bad decision. You need a good mentality to make good decisions. and utilizing many indicators that can also be adjusted, you can choose which indicators you will always use for technical analysis.

[Bushdark]

For all my 5 months in trading, I'm learning only technical analysis but now everyone is talking about the concept of "Smart Money". So I think that trading is changing and speculators should stop trading based on technical analysis. Or smart money just a concept that cannot possibly work in the market,

I will always go with Technical Analysis. You will see it, most professional traders and profitable are technical people, those traders who are technical are smart enough to analyze charts and price actions.
We can't say the smart money is just a concept, for sure it also works but we should just not disregard the technical analysis.

We can always make use of technical analysis in the market but we should know the boundaries where it is applicable.
Many of the meme projects we have in the market, using technical analysis for them might not give us a good outcome because there price is normally pumped and dumped and if we don't try as much to work on that, we might end up losing big in the market and that might make us to keep thinking whether the strategy we are using is not working for us.

[tygeade]

Well, while technical analysis could also help to give you (the trader) some hint in the trade, it doesn't guarantee that if you use technical analysis, you will actually make more of a successful trade. You also need to be familiar with the use and combination of some other trading tools, the use of indicators like the moving average, and their likes. You will also have to develop some good trading strategies; that's what will help you win the market, but even if it's not a 100% win, you will still experience some losses, but not as much as when you don't have as much knowledge about trading.

The thing about TA is that if you are not using it, then what's the alternative? That's why people use it, not because it's a guaranteed way of making money, but there is no alternative that you can do to make money from trading at all. Lets assume that you are not using TA, you look at a coin, and you are not sure about if you should buy it, or if you have any then if you should sell it, in a world where you do not use TA, you are forced to just simply make it by gut, just your feelings and nothing more.

This is why TA is a lot better and you should keep on using it the more you can, it should definitely make it to a point where it could make as much profit as you possibly could, and that means you are going to make as much as you can. It's definitely a good deal, and it's definitely something that will benefit you, and you are going to end up with a greater return with TA than your feelings, that should be the only thing that matters to you on the long run.

[GxSTxV]

Learning anything never been a bad thing, Technical Analysis is the very basic thing in trading on any market, forex, stocks, even crypto and anyone now can learn it in less than a week but should know it's not effective anymore. From my failed experience in trading I was just like you ina lot of confusion and what to learn exactly, since everything you learn seem ineffective and caus you just losses then you should go and learn something new.
Crypto market, is more volatile than any other market because of low marketcap tokens or coins and any small news can effect the price. So even with technical analysis and much studies of market you end up losing your position or trade in a very short time. I suggest that you focus on money management before anything else and I woukd also recommend trading on market crypto.

[el kaka22]

I believe that everything in moderate is not that bad of an idea, it should be something that everyone could look for, it's definitely not too bad at all. I get that it may not feel all that crazy for many people at the time, but it is definitely a good thing. I know that life is not that easy for some, and I know that it could get to a point where it may not be all that simple, but we need to just accept that TA is a good way to figure out how you should be trading and a direction for a person to take.

I am not saying it's a must, you could figure out different ways if you know what you are doing, but that doesn't mean that you are going to end up with something improper if you end up working towards making a living out of TA neither, that's still a good option. So, if you really want to take that road, you could always end up with working towards it, and you could make some profits with it when you become very good at it as well, it should be helpful.

[EarnOnVictor]

For all my 5 months in trading, I'm learning only technical analysis but now everyone is talking about the concept of "Smart Money". So I think that trading is changing and speculators should stop trading based on technical analysis. Or smart money just a concept that cannot possibly work in the market,

I will always go with Technical Analysis. You will see it, most professional traders and profitable are technical people, those traders who are technical are smart enough to analyze charts and price actions.
We can't say the smart money is just a concept, for sure it also works but we should just not disregard the technical analysis.

Smart money my foot. I wonder whether those who are behind it don't use technical analysis even if they claim they have access to more resources. There is nothing anyone can compare with the technical analysis, as long as you are conversant with it and you are also a very good chart reader, you get to make your success from it. But one must ensure that they fully know it, and the larger the timeframe, the better in my experience, unless the trader wants to stress himself and still not have anything meaningful to achieve from it. Trading with the technical analysis is also technical itself, one should not use a single strategy for the best results and neither should the person blend the wrong strategies together.

This is why I always advise that no trader should rest until they have devised a new trading system that can give them consistent earnings and the rest of their mind. If this is not done, how possibly would the trader have a good plan, management and even good psychology? That is not possible. For this, it's good to "nip it in the bud" and never rest in training until that dependable system is achieved. In addition, be it news effects, strange market movements, the main sentiment of the market and so on, there is none that is out of the radar of the technical analysis unless the trader is not using the right set of strategies. If used correctly, they will surely know and plan for or against them as the case may be. This is where good management is needed, and since traders cannot win every trade through technical studies, they need to effectively manage their accounts to avoid issues during the flaws time. But never blame the technical analysis for the imperfection, nothing is perfect.

[lalabotax]

The high volatility of cryptocurrencies allows traders to make good money on price fluctuations but relying solely on technical analysis in trading is a bad idea. A trader must constantly analyze the market through his own knowledge. By studying past market data its potential price movements are not accurately predicted. Technical analysis does not attempt to determine the true value of an asset. Trading is difficult if you don't have proper knowledge about your trade.

Analytical techniques in trading are indeed a fairly effective way and are a way for a trader to analyze the market. This method is often used by traders, especially professional traders who really understand how to analyze and optimize it in all kinds of market conditions. For those of us who don't really understand, this may not have much influence and we even think that TA is useless because after all market conditions will continue to change. However, for professional traders, the analysis and research from the TA results really influences their strategy and what they should do next as well as the possibilities they will face during price changes in the market. So as long as we really understand how to optimize TA results and carry out all the strategies then it will work well.

[boyptc]

We can always make use of technical analysis in the market but we should know the boundaries where it is applicable.
Many of the meme projects we have in the market, using technical analysis for them might not give us a good outcome because there price is normally pumped and dumped and if we don't try as much to work on that, we might end up losing big in the market and that might make us to keep thinking whether the strategy we are using is not working for us.

Exactly.

Using TAs with the meme coins is just like you're punching on the air. You don't know how long they're going to stay but I think it make sense for some meme coins like Dogecoin that has been there for so long.

But for the majority of the meme coins, it doesn't really make sense to use one for them unless you're a good trader and it helps out the trades you get on with them.

[shinratensei_]

We can always make use of technical analysis in the market but we should know the boundaries where it is applicable.
Many of the meme projects we have in the market, using technical analysis for them might not give us a good outcome because there price is normally pumped and dumped and if we don't try as much to work on that, we might end up losing big in the market and that might make us to keep thinking whether the strategy we are using is not working for us.

Exactly.

Using TAs with the meme coins is just like you're punching on the air. You don't know how long they're going to stay but I think it make sense for some meme coins like Dogecoin that has been there for so long.

But for the majority of the meme coins, it doesn't really make sense to use one for them unless you're a good trader and it helps out the trades you get on with them.

meme coin price literally depends on the mood of the community behind it, no wonder TA is not working at all.
TA only effective where I guess other people are also using the same technique like maybe in bitcoin where most of people are just doing the same thing its different in the market full of speculation and manipulation like meme coin in general it won't be that effective because as we know, the market is heavily manipulated.
though usually when going in such market i would just simply disregard the technical analysis and just instead depends on the news of the coin itself, it proven to be a good way to determine the future of such coin but still there are times where the coin suddenly increase or decrease in price surely thats a sign that the market itself is so speculative that nothing could determine the outcome of the market itself.

[bayu7adi]

Depending on your beliefs, but as of now, I believe some still use technical analysis to make decisions. It's not wrong, as everyone has their own trading strategy. Some signal channels also seem to use technical analysis to predict the market, so it's not a bad idea if you still want to learn and apply technical analysis for your trading needs.

But remember, no one guarantees 100% accuracy in technical analysis. There are still other conditions that render technical analysis useless, and that often happens. Market movements remain unpredictable, so proceed with caution.

[AicecreaME]

It always work, but not always a 100% guarantee that you're going to meet the profit you're expecting each trade.

Technical analysis only helps for you to analyze the market, on which price it is safe to enter and exit your trade. But since our knowledge and skills are also not accurate when judging the market movement, we can't avoid to lose our trade in the worst case scenario. So yeah, it will depends on how good you are and how will the market move in the timeframe you're going to use.

[boyptc]

We can always make use of technical analysis in the market but we should know the boundaries where it is applicable.
Many of the meme projects we have in the market, using technical analysis for them might not give us a good outcome because there price is normally pumped and dumped and if we don't try as much to work on that, we might end up losing big in the market and that might make us to keep thinking whether the strategy we are using is not working for us.

Exactly.

Using TAs with the meme coins is just like you're punching on the air. You don't know how long they're going to stay but I think it make sense for some meme coins like Dogecoin that has been there for so long.

But for the majority of the meme coins, it doesn't really make sense to use one for them unless you're a good trader and it helps out the trades you get on with them.

meme coin price literally depends on the mood of the community behind it, no wonder TA is not working at all.
TA only effective where I guess other people are also using the same technique like maybe in bitcoin where most of people are just doing the same thing its different in the market full of speculation and manipulation like meme coin in general it won't be that effective because as we know, the market is heavily manipulated.
though usually when going in such market i would just simply disregard the technical analysis and just instead depends on the news of the coin itself, it proven to be a good way to determine the future of such coin but still there are times where the coin suddenly increase or decrease in price surely thats a sign that the market itself is so speculative that nothing could determine the outcome of the market itself.

Yeah, that's not going to work with them.

They come and go but those that are staying means to say that they have a strong community and they're backed up. And maybe from there, something better will happen to that meme coin.

But otherwise, it's just all pure business and money from them and the devs don't care if the community will take care of its progress as long as the devs make money from them together with the community.

[Inwestour]

Depending on your beliefs, but as of now, I believe some still use technical analysis to make decisions. It's not wrong, as everyone has their own trading strategy. Some signal channels also seem to use technical analysis to predict the market, so it's not a bad idea if you still want to learn and apply technical analysis for your trading needs.

But remember, no one guarantees 100% accuracy in technical analysis. There are still other conditions that render technical analysis useless, and that often happens. Market movements remain unpredictable, so proceed with caution.

It all depends on how you interpret a certain situation, because different traders see the same situation differently, and this will shape market expectations. I am inclined to believe that technical analysis works, but in order to use it correctly you need to understand the market very well.

In addition, you need to follow the news, sometimes this can be a determining factor for a market reversal, more so if these are some kind of local movements. For the global movement, news will not be a very significant factor.

[shield132]

For all my 5 months in trading, I'm learning only technical analysis but now everyone is talking about the concept of "Smart Money". So I think that trading is changing and speculators should stop trading based on technical analysis. Or smart money just a concept that cannot possibly work in the market,

Trading is very hard, it involves luck and patience. If you are not a whale, you'll struggle in trading because you'll have many moments when you think it's time to give up to not experience more financial lose and once you sell your coins, that's the moment when price will start recovering and become bullish. Btw I have noticed that technical analysis really works, it just magically works. When you expect that price is high and according to technical analyses it has to fall but at the same time there is no reason for it to fall down, then magically some crazy news appears and price falls. Then when price falls down and is very low, magically another crazy news appears and price starts increasing. It's amazing but technical analysis works very well despite the fact that trading is hugely luck-dependent.

[gunhell16]

Technical analysis is really useful to all traders who make a profit from trading. Even those who are studying know how to analyze a trading chart on a graph. And this can only be done if you have an understanding of the use of tool indicators.

And these indicators are not just a few; there are a lot of them that should be studied and learned by someone who is just studying crypto trading in this business industry. It takes a long time to really know and learn it; in short, it is not a joke to learn and study.

[Huppercase]

For all my 5 months in trading, I'm learning only technical analysis but now everyone is talking about the concept of "Smart Money". So I think that trading is changing and speculators should stop trading based on technical analysis. Or smart money just a concept that cannot possibly work in the market,

Technical analysis work on any trading instrument but over the years, it has proved to be less active in many ways. The fundamental analysis precede technical analysis in all areas reason is that the market is move by what people see or hear which is the news. Technical analysis involved the used of chart to forcast the future expectation of the market but you don't need that to survive trading alone, you need to be even more of fundamental like 60% and the rest of the technical should take the 40%.

Another reason technical analysis might have not been working for you is that it could be that is because the crypto market is clouded by judgement of institutional investors, and there decisions can void the market irrespective what you think and how you want it to go. For instance, the Bitcoin market has been moving in the lows of $41,800 and $42,500 as we have enter the weekend and the daily candle has turned to high selling pressure as indicated from MACD and by trend, we should slowly apprached a support of $40,000 but you and I know that Bitcoin is going to break $45000 if ETF is approved on monday and it might even go higher to the resistance of $50,000.

What you need to do right now is to mix your strategy with more Fundamental analysis than the technical you are so focus on and this can be achieve through following some real crypto news and some Youtube channels that have quick updates about bitcoin update. You should focus on bitcoin more because everything about bitcoin is surrounded by bitcoin news and information.