Cryptocurrency is the latest innovation in the financial sector. Many people aim to make money from crypto trading. Well, we all know trading is a game of predictions; if a person predicts the right price, then they will gain a profit. Otherwise, they have to end up losing their money.
If you are willing to trade in the crypto market, you should know how to make the right Cryptocurrency prediction. However many websites provide free crypto price prediction, but they are often inaccurate. In the crypto world, price predictions often go wrong; therefore, only invest the money you are ready to lose.
Type of Cryptocurrency
Bitcoin is the first Cryptocurrency launched in the year 2008. It was created on the technology of Blockchain to make fast and cheap transactions. It is stored in digital wallet applications on a smartphone or computer. After Bitcoin, many currencies came into the market, which are classified as:
Altcoins (alternative Cryptocurrency coins)
Altcoins refers to all other Cryptocurrencies which are not Bitcoin. In simple words, Cryptocurrencies came after Bitcoin. Some most common altcoins are:
Tokens
Unlike Cryptocurrencies, tokens are similar to stocks. They are created and distributed through ICO (initial coin offering). Usually, tokens do not have their own blockchain. Instead, they run on another crypto currency’s Blockchain and take all the benefits of it. Tokens are created through smart contracts. They are represented in the following ways:
How To Predict The Crypto Price Trends?
Crypto traders need to analyze the trend because it helps them to know the right time to enter the market. Also, it helps them to decide whether they have to buy, sell, or hold the coin to get profits. Some common ways of predicting crypto prices are:
Technical Analysis
Technical analysis is a method of predicting future prices and trends based on the historical price of the coin. Technical analysis believes that Cryptocurrency will follow the trend and repeat them in the future. Therefore, they focus on analyzing the price movement and trading volume to predict the future price.
Fundamental Analysis
Fundamental comes with a very different approach. Instead of depending on historical data, fundamental analysis focuses on the fact, whether the price is overvalued or undervalued, and makes their trading decision accordingly.
Should You Trust Free Telegram Predictions?
In most cases, reliable Cryptocurrency price predictions are very rare to find. Also, most of the time, they are inaccurate. However some websites and telegram channels provide accurate predictions, but they are very hard to find.
Due to the high volatility of the crypto market, these predictions often get wrong. Therefore it makes more meaning to analyze the market yourself so that you will not regret your decision in the future.
Conclusion
If you are a beginner, you may not be familiar with the above-mentioned terms. So, you may not be able to analyze the market yourself. In such cases, one can use CryptoChatty to get free Crypto price predictions. Also, one will have access to chat rooms where they can discuss trades live with other traders.