đ§ Do you use the same position size for $BTC as for an altcoin that moves 12% or 35% a day? Thatâs usually where the problem starts.
đ The concept: ATR (Average True Range) measures how much an asset moves on average in each candle (for example, over 1 day). It doesnât indicate which way the price will go, but how volatile it is.
đ Example using todayâs data (daily ATR on Binance):
⢠BTC: $2,270 â 3.1% daily
⢠$ETH: $99.3 â 4.8% daily
⢠PEPE: 10.7% daily (more than triple BTCâs)
⢠$ZEC: $122.6 â 12.7% daily
⢠INIT: 35.7% daily (more than 11 times BTCâs volatility)
â Common mistake: setting a 2% stop-loss on a coin with a daily ATR of 10% or 12%. The dayâs normal noise can stop you out even if your idea was right.
â How to apply it: the higher the ATR %, the smaller your position size should be and the wider your safety margin.
đ In one line: ATR tells you how much each coin âbreathes,â so you can adjust your risk before entering.
Do you measure volatility before opening a trade? đ
#EducacionCripto #AnalisisTecnico #GestionDeRiesgo #BTC #Tra100d
â ď¸ For informational and educational purposes only; this is not financial advice. Cryptocurrencies are volatile: do your research and trade with caution.
đ The concept: ATR (Average True Range) measures how much an asset moves on average in each candle (for example, over 1 day). It doesnât indicate which way the price will go, but how volatile it is.
đ Example using todayâs data (daily ATR on Binance):
⢠BTC: $2,270 â 3.1% daily
⢠$ETH: $99.3 â 4.8% daily
⢠PEPE: 10.7% daily (more than triple BTCâs)
⢠$ZEC: $122.6 â 12.7% daily
⢠INIT: 35.7% daily (more than 11 times BTCâs volatility)
â Common mistake: setting a 2% stop-loss on a coin with a daily ATR of 10% or 12%. The dayâs normal noise can stop you out even if your idea was right.
â How to apply it: the higher the ATR %, the smaller your position size should be and the wider your safety margin.
đ In one line: ATR tells you how much each coin âbreathes,â so you can adjust your risk before entering.
Do you measure volatility before opening a trade? đ
#EducacionCripto #AnalisisTecnico #GestionDeRiesgo #BTC #Tra100d
â ď¸ For informational and educational purposes only; this is not financial advice. Cryptocurrencies are volatile: do your research and trade with caution.
