What's the best day of the week to trade bitcoin?
- By Blockchain enthusiasts
- December 29, 2022
The truth is, it's not that simple. It is not always possible for BTCS to buy cheap and sell expensive, as no one can be entirely sure where the crypto market will go in the coming days. One of the easiest ways for LongHash experts to try to determine the best time to trade BTCS within a few days of the week is to go to the nearest place, BTCATM.
How to trade digital currencies
To find the form of Bitcoin's value, analysts studied it for two years, with the precision of one-hour BTC price movements. The information obtained is broken down by hour and week, making it easier to identify the best entry and exit points of the market.
Here's how the study works: In order to determine Monday's 1:00BTC average price, the experts calculated all the averages before Monday for an hour in the same evening. As a reminder, the information used for the analysis was from February 6, 2018 to February 6, 2020.
Every hour of the week and every day was clearly repeated 104 times over two years. Because the analysis used the development of digital currencies, the experts did not take into account the entire "contemporary phase" of Bitcoin's history. Moreover, when studying the entire history of the currency, the data would be out of frame due to sharp fluctuations in BTC.
The chart below shows the average opening, closing, high, and low prices for the average hour. If you need a lot of BTCS, you can use Paydepot's crypto OTC counter.
The average differentiates BTC rates by number of weeks and time of day. Material source: Long hash
As a result, over the past two years, the price of bitcoin has hit its lowest point of the week around 6 a.m. Friday, which is world standard time. In fact, Thursdays and Fridays are the best days to buy digital currency -- it's during this period that its value hits bottom. The best time to sell bitcoin is Monday night or Tuesday morning.
On average, the Monday/Tuesday daily chart for the digital currency opened $170 higher than the Thursday/Friday opening.
Note that the LongHash report has been published as a simple comparison of average BTC prices. If it's going to show historical trends in digital currencies over the past two years, it shouldn't just be used as a prediction. The past hardly guarantees the future. For trading, technical chart analysis and indicators are applied. Even if it doesn't always work.
There is no agreement on the characteristics of these price trends. Monday evening UTC coincided with morning in China, so experts first suggested that the BTC increase could be related to high activity among Asian traders. That theory was not borne out after an hour of price action.
Bitcoin's fall on Friday was attributed to "fatigue" from traders in the U.S. and Europe who fell over the weekend.
Ultimately, of course, all of this can be summed up as not buying digital currency for a certain amount of time, but thinking about interest rates. Investors should sell high and suck low. However, investors who avoid risk will continue to lose money as most digital currency enthusiasts cannot properly identify the breaking point. So even this study won't make much of a difference.
When to buy and sell Bitcoin?
Bitcoin's high volatility makes it possible to get huge amounts of money in a very short period of time. Longhash analysts have found that the best time to trade is in a time zone between late night and 1 p.m. UTC. Experts point out that you start buying and selling right around this time.
Who gets up early
In fact, there is a very interesting trend in trading - bitcoin volatility spikes for periods of time. In general, prices of virtual currencies move most quickly in the morning and first half of the day.
The peak of investor activity in the United States is 19 to 20 hours. During this hour, the maximum number of local minimum and maximum digital currency values are registered. One reason is that during this time, North America starts at night, while Asia is a weekday.
In other words, the Americans and Canadians are just coming home and starting some deals. At the same time, professional traders also place orders on the exchanges.
However, Longhash warns that investors should not base their trading strategies solely on their analysis. When you start trading during an active trading period, it's hard to secure your profit. Bitcoin investments may make money, but it's still a highly volatile market, so opening your own crypto ATM business may be BTC's profit-less risky decision.