What is the meaning of a gap up in the cryptocurrency market?

1 answers

• Mar 19, 2022 · 3 years ago
  A gap up in the cryptocurrency market is when the price of a coin opens significantly higher than its previous close. It's like starting the day with a big jump. Gap ups can happen due to positive news, increased demand, or even market manipulation. When a coin gaps up, it often attracts more buyers and leads to increased trading activity. Traders see it as a bullish signal and may enter positions to take advantage of the upward momentum. However, it's important to be aware that gap ups can also be followed by a gap fill, where the price retraces and fills the gap. So, while a gap up can be a positive sign, it's not a guarantee of sustained price growth.
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