Multiple Time-Frame Analysis

Multiple time-frames analysis equals using 2 time-frames to trade Bitcoin - a shorter one used for trading & a longer one to check Bitcoin trend.

Since it's always good to follow the market trend, in Multiple Time-frame Analysis, longer chart time-frame gives and provides us the direction of the long term trend.

If the long term market direction supports the direction of the smaller chart time frame then the probability of being profitable is greatly increased. This is because even if you as a trader make a mistake the long term bitcoin trend eventually will save you. Also if you trade with the direction of btcusd market, then mostly you'll be on winning side, this is what this type of trading analysis is all about.

Remember there a popular saying by many Bitcoin & stock market traders that says: 'The bitcoin trend is your best friend' - never go contra the btcusd market.

There are 4 different types of Bitcoin traders - all these use different charts to trade such as shown below.

Explanation examples of how each type of BTCUSD trader uses multiple Bitcoin BTCUSD time frames analysis strategies:

Scalpers

This group holds on to their trade positions for only a couple of minutes. Scalper never holds onto a trade for more than ten minutes. With the main objective of earning a small number of pips as trading profit, 5 - 20 pips.

A Scalper using 1 minutes chart time-frame wants to go long, checks 5 minutes trading chart, that look like the one below, since 5 min illustrate btcusd crypto trend is heading up, then decides from the analysis it's ok to buy.

Multi Chart Time Frame Day Bitcoin Trading

Best Chart Time-frame to Trade Bitcoin

Day Traders

This group holds on to their trades for a few hours but not more than one day. With the objective of earning quite a number of pips: 30 - 100 pips.

Day trader trading 15 minute trading chart time frame wants to go long, checks the 1H chart, that look like the one below, since 1H shows market bitcoin trend is heading up, then decides from the analysis it's ok to buy

Multiple BTCUSD Chart Time Frame BTCUSD Strategy - Multiple Timeframes on One Multiple Chart Time-frame

Best Chart Time-frame to Trade BTC/USD Crypto

Swing Traders

This group holds on to their trade positions for a couple of days to a week. With main objective of earning a big number of pips: 100 - 400 pips.

Swing trader using the 1 H chart time frame wants to open short, checks the 4 H chart, that look like the example illustrated below, since 4 hour highlights the btcusd crypto trend is heading down, then decides from the analysis it's ok to sell.

Multiple Bitcoin Chart Time-frame Bitcoin Strategy - How Do You Interpret Bitcoin Day Trade with Different Bitcoin Chart Time Frames?

Best Chart Time-frame to Trade BTC/USD Crypto

Position BTCUSD Traders

These are the traders that hold onto their trade positions transactions for a period of weeks or months. With the objective of earning a big number of pips: 300 - 1000 pips.

A Position trader using day chart time frame wants to short, checks week chart, week looks like the one below, since weekly illustrates the bitcoin trend is heading down, then decides from the analysis it's ok to sell.

Position trader multiple Time-frame analysis - Multiple Chart Time-frames Strategies

Best Chart Time Frame to Trade Bitcoin Cryptocurrency

How to Define A Crypto Trend

Using a bitcoin system has three indicators - MA Cross-over System, RSI and MACD & uses simple trading rules to define the trend. Rules are:

Upwards trend

Both MAs Moving Up

RSI above 50 Mark

MACD Above Center-Line

Downwards BTCUSD Trend

Both MAs Moving Down

RSI below 50 Mark

MACD Below Centerline

For More details and particulars about this system read: How to Generate Bitcoin Signals with a Bitcoin Strategy.

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