RSI above 70 indicates that Ethereum might be overbought, potentially signaling a price pullback. When MACD crosses above its signal line, it could mean an upward trend. Together, these indicators provide clearer buy/sell signals, improving price predictions.
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Market orders are buy or sell orders executed immediately at the best available price, often leading to quick, significant price movements, especially in less liquid markets. A large market order can cause slippage, where the price moves against the trader due to insufficient liquidity at the current price level. On the other hand, limit orders are placed to buy or sell at a specific price or better, meaning they are not executed immediately. These orders can help stabilize prices by creating a buffer against sudden price swings, but they can also contribute to price stagnation if there are too many unfilled orders at certain levels. Together, these order types create dynamics that influence market liquidity and price discovery.
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Blockchain transparency allows for real-time verification of a project’s financial movements, including transaction history and token distribution. Investors can check whether funds are being used as promised, ensuring the project’s claims align with on-chain activity. For example, if a large portion of tokens is held by a few wallets or there’s suspicious movement of funds, it could signal red flags. A transparent blockchain reduces the likelihood of fraud, offering a layer of security that helps investors assess whether a project is genuine or potentially a scam.
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