When talking about crypto and starting trading, the first thing you are likely to encounter is charts; Kucoin, a crypto exchange and is a crypto trading platform, provides these features to its users. These charts have a lot of uses. There are different types of charts for other purposes that aims to maximize the understanding of traders and investors alike about the market condition.
ADA is the native currency of Cardona, which is built on the Ethereum blockchain. It is one of the best environmentally friendly cryptos, which can be traded on platforms like Kucoin. The ADA tokens are mainly used for the payment of transaction fees.
BTC or Bitcoin is the biggest cryptocurrency in market capitalization; it was one of the earliest digital coins and held the highest worth. We can say that it is the market leader, and it is always considered the hottest coin that is traded in the market.
In simple terms, an ADABTC chart shows how many BTC are needed to buy one ADA coin; for instance, if I am a trader I hold some Bitcoin, and I have planned to diversify my investment and buy some ADA, so I would have to look at the ADABTC chart that matches ADA against BTC if the conditions look suitable then I would carry on with the exchanging it otherwise I would wait for market conditions to become better.
This is the most common type of chart. It shows the market condition of any coin during the day and how it has performed; it also shows the closing quotation of a currency; for example, if you want to know about the performance of BTC, the line chart could help you with this.
A bar chart is a much more technical chart. It shows the overall performance of a coin, including the highs and lows of prices; this also helps the traders to understand that what was the opening price of a currency at the start of the day and what was the closing price; it allows users to understand the requirement and supply of that particular coin.
This is the most commonly used chart. This chart shows the prices and performance of a coin with a vertical candle-like bar, one of the cool features of this coin is that it shows the price signals in color. If the price has gone up, the chart would be green, indicating the upward trend and a positive sign, and if the prices have gone down, it will read, signaling a loss or downward trend.
Is The Use Of Graphs Always Necessary?
Yes, it is; using a graph is vital if you are a trader or investor. It would help you know about your return on investments, whether you are making a profit from losses and what coin you should buy. Still, one thing should also be noted: you should be adequately informed and well researched while making any decision and constantly be updated with the market news.
Kucoin has all of the graphs mentioned above to help you analyze the trading activities. If you are planning to start your journey, there isn’t any platform like Kucoin that would work wonders for you in trading.