{"id":412214,"date":"2020-01-24T17:00:27","date_gmt":"2020-01-24T17:00:27","guid":{"rendered":"https:\/\/www.ktsl888.com\/?p=412214"},"modified":"2020-01-24T17:00:01","modified_gmt":"2020-01-24T17:00:01","slug":"volume-precedes-price-altcoin-crypto-investors","status":"publish","type":"post","link":"https:\/\/www.ktsl888.com\/news\/volume-precedes-price-altcoin-crypto-investors\/","title":{"rendered":"Volume Precedes Price: Why an Unexpected Altcoin Crash Could Surprise Crypto Investors"},"content":{"rendered":"
Top financial market analysts often live and die by the mantra that volume always precedes price, and the same is true for crypto assets like Bitcoin<\/a> and the rest of the altcoin market<\/a>.<\/p>\n An indicator designed to spot early changes in volume may be signaling that although altcoins are rallying across the greater crypto market<\/a>, a surprising crash may soon catch crypto investors off guard.<\/p>\n The idea was primarily popularized by market analyst and author Joe Granville<\/a>, in his 1970s book entitled New Strategy of Daily Stock Market Timing for Maximum Profit<\/em>.<\/p>\n In the best-selling book, Granville explained that assets don\u2019t rise in price until demand exceeds supply and that demand is measured and volume \u2013 \u201cthus volume must precede price.\u201d<\/p>\n Related Reading | Altcoin Market Preparing Shocking Disbelief Rally According to Wall Street Cheat Sheet\u00a0<\/a><\/strong><\/em><\/p>\n This was so important to Granville\u2019s market analysis, he later developed a tool and technical analysis indicator called \u201cOn-Balance Volume.\u201d<\/p>\n The indicator \u2013 often called the \u201csmart money indicator\u201d \u2013 is designed to spot early fluctuations in volume that can help predict price movements much sooner than with other indicators.<\/p>\n Some indicators are considered lagging indicators, such as the MACD, only providing signals after the fact. But the OBV indicator is a leading indicator that gives signals early.<\/p>\n It makes taking action on such signals riskier, however, the tool does work with chilling accuracy.<\/p>\n <\/a><\/p>\nUnderstanding On-Balance Volume: The Smart Money Indicator<\/h2>\n
Click image for a full-size version.<\/strong><\/em><\/h6>\n
Altcoin Market Could Be Signalling a Major Selloff Ahead as Whales Prepare to Dump<\/h2>\n