Key takeaways
Bitcoin candlesticks are a popular tool among Bitcoin traders because they’re simple to use and offer an intuitive way to understand market sentiment and trends.
Bitcoin candlesticks are a rather old tool. Rice trader Honma Munehisa invented them in Japan as far back as the 18th century. They were introduced to Western financial markets in the late 1980s.
They help you understand bullish and bearish patterns in technical analysis. This knowledge will get you started with Bitcoin trading.
They should not be your only tool for making informed decisions. Combine them with other Bitcoin technical indicators, such as MAs (moving averages) or the RSI (relative strength index).
If you’re new to Bitcoin (BTC) trading, you may wonder when to buy or sell. Candlestick charts, like bar or line graphs, have time on the horizontal axis, while the price data appears on the vertical axis.
They provide a quick