Candlestick Chart
A type of price chart that shows the open, high, low, and close of an asset for a given time period.
Explained Simply
Candlestick charts are the standard way to visualize crypto price movements. Each candle shows four data points: opening price, closing price, highest price, and lowest price for a time interval. A green (or white) candle means the price closed higher than it opened; a red (or black) candle means it closed lower. Traders use candlestick patterns to identify potential reversals and continuations, though pattern analysis is not a reliable predictor on its own.
Example
A 'hammer' candlestick (small body, long lower wick) at the bottom of a downtrend may suggest buyers are stepping in.
Related Tools
Put this knowledge into practice with these tools.
This content is for educational purposes only and does not constitute financial, tax, or legal advice. Always consult a qualified professional for advice specific to your situation.