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Using Advance Decline Index to Predict Crypto Market Trends

Published 22/07/2023, 12:27
Using Advance Decline Index to Predict Crypto Market Trends

  • The ADI of the top 100 cryptocurrencies is a significant tool for predicting the crypto market.
  • Users calculate ADI by adding the daily advances or declines of crypto prices to their PIV.
  • ADI is the sum of the difference between daily advances and daily declines among cryptocurrencies.

The Advance Decline Index (ADI) of the top 100 cryptocurrencies is a significant tool for predicting the crypto market, according to Benjamin Cowen, a renowned crypto analyst. In a recently uploaded video, Cowen explained how the tool can be used to ascertain crypto market trends.

Cowen noted users calculate ADI by adding the daily advances or declines of crypto prices to their prior index value (PIV). It is the sum of the difference between daily advances and daily declines in a group of cryptocurrencies.

Cowen also noted an increasing ADI value suggests there are more advancing cryptocurrencies in the group under review. In the same way, a decreasing value indicates more of the cryptocurrencies under review are declining.

Analysts commonly used ADI with market cap data to interpret the crypto market behavior. Cowen used historical data to explain how users can combine …

The post Using Advance Decline Index to Predict Crypto Market Trends appeared first on Coin Edition.

The post Using Advance Decline Index to Predict Crypto Market Trends appeared first on Coin Edition.

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