472
views

How to Tell Which Crypto Will Surge By a Higher Percentage During a Bull Run

Cryptocurrencies have rallied over the past year like never before in history. Most cryptos went as far as achieving all-time highs. Even with high volatility, investors do not seem to back down at any moment. As a crypto investor, it would help if you knew how to predict surges during a bull run to be at par with the rest of the community.

One might think that predicting the movement of crypto prices is complicated. However, with a few pointers, you can determine which cryptocurrency will rise higher than others. It requires a knowledgeable eye, and that’s the essence of this article. It will give you insight and the ability to predict cryptocurrencies. Let us dive in:

Reserve Risk Indicator

A reserve risk indicator can show a price surge is about to happen in crypto. The indicator tells the confidence and conviction of long-term holders. It gives a long-term cyclical oscillator that models the ratio between the incentive to sell and the opportunity cost of not selling. Let us take an example with Bitcoin.

As the price increases, the incentive to sell also increases. When the reserve risk is low, it shows that the HODLer incentive is high. The unspent opportunity cost is rising, and the price is low. Hence, the next course of action is to invest. The process might be lengthy and prolonged. The accumulation of unspent opportunity costs takes a while.

Thus Reserve Risk lows often indicate late bear markets, and the bull market is about to begin. When the reserve risk is high, it shows late bull markets and a move into the bear market. When you study reserve indicators of other cryptocurrencies, you will easily compare and determine which one will go higher.

Trading Volume

Trading volume in cryptocurrencies is the total amount of trades and value of crypto at a specific time. By looking at the trade volume, you can clarify two things. First, it shows the rise and fall in the market price. Also, it indicates that investors are actively trading whether a coin is or not.

Here is a scenario. If investors look into the trading volume of crypto, they might notice a general increase in the trading volume, the highest in, say, two years. It signals that crypto is gaining momentum. Hence, they have confidence that the trend will keep rising and that investors will make more purchases.

When the trading volume of one crypto is high compared to previous volumes, it is safe to deduce that it is about to experience a bull run. This is because speculators have started to enter the market and hence the rise in trading volume. So eventually, the prices will go up.

Moving Averages

Moving averages are trend-following. They provide delayed feedback on a price shift that already occurred.

One of the most prominent time frameworks for trading and spending is the 20, 50, and 200-period moving averages. Short-term investors likewise use the five and 10-period moving average. However, they tend to whipsaw and might not be appropriate for everyone.

There are four kinds of moving averages: simple, exponential, smoothed, and weighted. The most common and major one is the simple and exponential moving averages.

For calculation, rapid-moving averages provide more weightage to recent price information. Therefore they tend to react rapidly to price changes. On the other hand, a simple moving average offers equivalent weightage for the price information. Thus, they tend to be relatively sluggish in reacting to price modifications.

For that reason, investors tend to utilize EMA for a much shorter time frame, such as 10 and 20, as they capture the modifications rapidly. On the other hand, the simple moving averages are used for the much longer time frameworks since patterns typically don’t alter direction rapidly.

When used, moving averages of different cryptos can tell you which one is performing better than the other one.

Relative Strength Index (RSI)

The relative strength index shows price change and functions as an oscillator. The values range from 0 to 100.

When the reading is below 30, it means that the crypto is oversold. On the other hand, above 70 indicates overbuying. However, be careful because the indicator does well in a range-bound market. So when it comes to trending phases, the signals may be false.

Here is what you should know about RSI. A divergence happens when the RSI moves in the opposite direction to the price. A clear divergence occurs when the RSI makes a more significant low while the price sets a lower low. It is typically a solid indicator that a price jump is coming.

A bearish divergence happens when the RSI collects a lower high while the price sets a more significant high and recommends the purchasing momentum is nearing its climax. On the other hand, a bull divergence occurs when RSI sets a higher high while price sets a lower low.

Fibonacci Retracement

The Fibonacci retracement predicts the support and resistance levels of crypto. In addition, you can derive levels in a trend in which the price is likely to follow. Hence, you can identify Potential resistance or swing levels locating a swing high or swing low. Mostly, these numbers don’t lie once you become experienced.

A swing high is a candlestick at the top of a pattern at any provided time frame. It also has a reduced high on its sides. On the other hand, a swing low is the reduced candlestick of a pattern with a more significant low on either side. Thus, you can choose the Fibonacci retracement device in your trading software application and link a swing low to swing high when you determine these factors.

By determining the swing high and lows of different cryptocurrencies, you can range where the price will be and which will increase more.

Conclusion

Cryptocurrencies are highly volatile, and investors are well aware of that. However, if you choose to dip your ties in trading, you should practice identifying the primary trend. Thus, to find out which cryptocurrency will rise higher during a bull run, the key is to study the above indicators. They will give you a range of how much each crypto will grow, and you can then compare it with other cryptocurrencies.

Bitcoin live price
Btc
Bitcoin
$19.592,36
price
3.05606%
price change
BUY NOW

Meanwhile, crypto is going mainstream. Different institutions have taken an interest in the past decade and even invested in crypto. It has been one of the reasons why analysts say that the prices are increasing. We can make predictions of the value in the next couple of months. But in reality, it is a new and speculative field without much history to base the prediction. So take your time to study before investing in any cryptocurrency.

Stay up to date with our latest articles

More posts

Study Reveals Fossil Fuels Still Power 62% of Bitcoin Mining

Per a report from the Cambridge Center for Alternative Finance (CCAF), fossil fuels have been the primary energy source for BTC mining since the start of the year. The CCAF recently updated its Cambridge Bitcoin Electricity Consumption Index (CBECI).  Its study claims that 62% of all the energy the leading token has consumed so far consists of coal-based energy. BTC’s Energy-Intensive Mining Bitcoin employs the proof-of-work consensus mechanism to create new tokens and validate transactions on the blockchain. The PoW…

Strike Close $80 Million Funding Round to Further Expand Bitcoin Payments 

Strike – a Bitcoin payments company and digital wallet provider – has closed an $80 million funding round led by Ten31.  The funds will bolster the company’s efforts to “revolutionize payments” for the payment industry’s biggest players.  According to a press release, both Washington University in St. Louis and the University of Wyoming also partook in the raise.  The funding leader, Ten31, is a Bitcoin and lightning infrastructure provider that’s invested in numerous other Bitcoin native companies like Blockware, Swan,…

indu4.0 – The Digital Marketplace for the Manufacturing Industry

indu4.0 is a digital B2B marketplace for the manufacturing industry, aiming to make the bridge between supply and demand faster, more efficient, and cost-effective. The company behind it, Indu4.0 AG, operates from Lucerne, Switzerland. It has already succeeded in integrating numerous complex industrial products and services with a sophisticated filter system in a user-friendly platform. This indu4.0 review looks closely at one of the most ambitious projects seeking to establish a blockchain presence for the behemoth-sized manufacturing industry. Read on…

Here are the Benefits of Auditing Your Smart Contract with SolidProof

Auditing a smart contract is vital to ensure that the code functions as intended. SolidProof offers a wide range of services to help with this process. The company guarantees a sound audit process and an experienced team of auditors.  Here are the benefits of auditing a smart contract with a reputable company such as SolidProof: A wide range of services: SolidProof offers a wide range of services to help with the audit process, including code review, security analysis, and more.…

Nexo Receives Cease and Desist Order From California Regulators

The crypto lending platform Nexo has been ordered by several California securities regulators to halt its crypto yield product. The state claims that the company’s interest-bearing accounts qualify as unregistered securities that require proper disclosures and legal protections. The California Department of Financial Protection and Innovation (DFPI) announced the enforcement action on Monday. The Department said its action was part of a larger investigation of companies offering crypto interest accounts.” The DFPI has undertaken aggressive enforcement efforts against unregistered interest-bearing cryptocurrency…

Hacker Carts $1M in Another Vanity Address Breach

Amidst a rise in DeFi breaches, yet another address from Ethereum vanity wallet address generator Profanity has fallen victim to an attack. A malicious actor was able to exploit a vulnerability in the tool and make off with almost $1M worth of ETH. This comes roughly a week after DEX aggregator 1Inch spotted and highlighted the weakness in Profanity-generated addresses.  Hacker Steals 732 ETH Blockchain security company Peckshield called attention to the latest attack early on Monday. The firm published…

WMA: Bitcoin Below $19,000 while XRP Surges as the Bears Maintain Control

Get the weekly summary of crypto market analysis, news, and forecasts! This Week’s Summary The Crypto Market ends the week at a total market capitalization of $928 billion. Bitcoin has decreased by nearly 4% this week. Ethereum lost almost 8% over the past seven days. XRP is up by nearly 29% this past week. Almost all altcoins are trading in the red, with few exceptions. The DeFi sector maintained the total value protocols (TVL) at around $27 billion. Crypto Trends…

Bitcoin Was Almost “Netcoin”, Domain Data Reveals

According to historical records detailing domain purchases under professional anonymity provider AnonymousSpeech, Bitcoin could have been Netcoin instead.  Nakamoto May Have Been Torn Between 2 Names The data revealed that on August 17, 2008, a day before Satoshi Nakamoto created Bitcoin.org, Netcoin.org came into existence. AnonymousSpeech is a Japanese service that allows users to purchase domain names anonymously. Twitter user @Orweinberger made a post on Friday to reveal the new findings. They reportedly discovered the information while going through all…

MicroStrategy is Building Enterprise Grade Lightning Network Wallets

The Bitcoin bullish software company MicroStrategy is building Bitcoin lightning network wallets that can be deployed to enterprises.  The company’s executive chairman and former CEO Michael Saylor shared details on the tech in a recent interview. In an uncharacteristic fashion, he also offered some short/medium-term price predictions for Bitcoin. MicroStrategy Builds on Lightning As Saylor told MarketWatch in an interview on Wednesday, the company’s wallet software will let business owners distribute Bitcoin to thousands of employees in a single afternoon. …

Volt Inu (VOLT) Makes Another Move on the Successful Path of SHIB

It is always nice to see new projects taking inspiration from successful ones in crypto. We have seen it many times before, and it is happening again with Volt Inu (VOLT). The project is following in the footsteps of SHIB, which has been highly successful. The team behind Volt Inu (VOLT) announced multiple listings of the token over the recent months. The listing of the project on Gate.io and Bittrex Global are the most recent ones. Gate.io - Effects on…