Bitcoin Price and Moving Averages


Description

The starting point for Bitcoin is most often price. Using daily and weekly moving averages, we can track the price of Bitcoin along with support, resistance, and trendlines. Using the 50-day moving average (50DMA) and the 200-day moving average (200DMA), you can see patterns such as death crosses, which signal price weakness and historically precede price rebounds. In an uptrend, moving averages can act as "support" lines indicating the bottom of a market cycle, while in a downtrend moving averages can act as a ceiling line, indicating the top of a market cycle


Use Case

These moving averages are often short- and mid-term price indicators, commonly used in traditional financial applications.


Methodology

We calculate this by taking the average price over the last n days.