The width of the market, a key indicator used to understand the overall health of a market or index, indicates that the cryptographic market and the Wall Street technological index, the NASDAQ, are experiencing short -term weakness in a long -term trend.
The magnitude is generally measured by comparing the number of advanced stocks or cryptocurrencies to those down. Merchants also analyze the number of assets negotiated above or below the medium of key moving, such as SMAS of 50 days and 200 days – to assess short and long -term market trends. This article is specifically focused on these extent indicators based on the mobile average.
During the writing, 63 of the 100 best cryptocurrencies per market value, including Bitcoin
exchanged above their respective single mobile average of 200 days (SMA)According to Data Source TradingView.
The 100 best parts have stock market capitalizations of more than a billion dollars and are less priced to handle their smaller counterparts.
At the same time, 50 pieces exchanged below their 50 -day SMAS.
Interestingly, the Nasdaq, which includes 100 shares, posted a similar profile on Monday, with 61 shares negotiating above their 200 days and 49 SMAS below their 50 days.
Implications
The data indicates that the long-term trend for the two markets remains optimistic with a clear majority of assets negotiating above their 200-day SMAS. The average of 200 days is widely followed as a barometer for long -term trends in retail and institutional investors.
That said, the immediate prospects are regularly aggravated, because 50% of assets on the two markets are negotiated below the 50 -day SMA, which is a short -term trend indicator. A price lower than this average suggests a recent momentum and a short -term potential decrease trend.
The extent of the identical market of the two markets suggests that short-term weakness is not an isolated event, but a widespread phenomenon affecting both cryptocurrency and traditional markets. Perhaps traders on the two markets deactivate their portfolios before the imminent speech of the president of the Federal Reserve Jerome Powell at the Jackson Hole symposium this week.
Read more: Crypto Traders Eye Jackson Hole As Ether, XRP, Solana falls in retirement
