Analysis of the market depth in the context of Iota (Pulp)
The world of cryptocurrencies develops constantly and the new players appear and steel. One of these players is Iota (Plum), a decentralized internet protocol designed to facilitate a safe, efficient and economic transfer data via the Internet. In this article, we will examine the analysis of the depth of the market in the context of the Iota, providing information on the potential of the growth of cryptocurrency.
What is the analysis of the depth of the market?
The analysis of market depth is a financial analysis technique used to understand the dynamics of the market by examining its basic and offer relationships. It includes an analysis of the price movements and commercial volumes to identify models, trends and correlations that can inform about investment decisions. In the context of cryptocurrencies, the analysis of the market depth can help traders and investors better understand the liquidity and variability of the market.
MARKING Analysis Iota (Pulp)
Iota is a decentralized open source network designed for low power and current IoT devices. The cryptocurrency has paid close attention in recent years due to potential cases of use in intelligent contracts, data centers and other applications. However, the dynamics of the iota market require careful analysis to understand its growth potential.
Analysis of the depth of the Iota market
To analyze the depth of the iota market, we must examine its commercial volumes, price movements and relationships between them. Here are some key indicators:
- Trading volume : the iota volume is relatively low compared to other cryptocurrencies on the market. According to Coinmarketcap, the Iota commercial volume 24 hours a day is approximately $ 100 million.
- Price movement : The price of iota over time was unstable, with an interval from 3.50 to 5.20 USD per coin. However, cryptocurrency has increased significant growth in recent months, guided by growing acceptance and use.
- Liquidity : Iota liquidity is relatively low compared to other cryptocurrencies on the market. According to TradingView, the Iota liquidity ratio is about 50%, which indicates that prices are not always well supported.
- Variation
: Iota has a high variability profile, with price fluctuations up to 20% per day.
Analysis of the depth of the market of key price levels
To obtain more information on the depth of the iota market, we must examine its key levels of prices:
- Support level : 3.50 USD: This level is the lowest price to which the coin has been exchanged since the beginning of the year.
- Resistance level
: 5.20 USD: This level represents the highest price, after which the coin has been exchanged in the last month.
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Trends analysis
Based on our analysis of the market depth, it can be seen that iota have increased in recent months due to growing cases of acceptance and use. However, the cryptocurrency has yet to face serious challenges, including:
- Liquidity : Low liquidity is the main problem for iota, because it limits commercial volumes.
- Variability : The high variability profile makes the movements of the prices more unpredictable.
Application
The analysis of the market depth guarantees valuable information on the dynamics of the iota market. While the cryptocurrency has shown a significant increase in the last few months, its low commercial volume and the high liquidity are the main fears. To be successful on the iota market, investors should focus on the construction of a long -term strategy, which takes into account the risk of variability and liquidity of the market.
To summarize, our analysis of the market depth guarantees a deeper understanding of the growth potential of the Iota and the challenges that the cryptocurrency must face.