Ever wondered what a single candle on a crypto chart is actually telling you?
If you’ve already learned how to look at a crypto chart, the next step is understanding candlesticks.
A candlestick shows how an asset’s price moved during a specific period — and every candle is built from four key prices.
🔹 The 4 prices behind every candle
Open — the first recorded price during the period.
High — the highest price reached.
Low — the lowest price reached.
Close — the last recorded price.
Together, these are called OHLC data.
🕯️ Body vs. Wicks
The body shows the difference between the Open and Close.
The thin lines extending above and below the body are called wicks or shadows. They show the High and Low reached during that period.
🟢 Green vs. 🔴 Red
In most charting platforms:
🟢 Green candle → Close is higher than Open.
🔴 Red candle → Close is lower than Open.
The colors can be customized on some platforms, but the underlying logic stays the same.
⏱️ And what does one candle represent?
That depends on the timeframe you choose.
A candle can represent a short period such as a minute, or a much longer period such as a day.
So the same asset can look very different depending on the timeframe you’re viewing.
The simple way to remember it:
Open → High → Low → Close
Once you understand these four points, you have the basic language needed to start reading candlestick charts.
And remember: candlesticks show what happened during a period. They don’t guarantee what happens next.
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Educational content only, not financial advice. DYOR.
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