In the field of cryptocurrency investment, price change and range are two critical indicators. They not only reflect market dynamics but also provide investors with valuable guidance for making informed decisions.
In the cryptocurrency market, price change and range are two of the most commonly used data indicators.
Price change refers to the percentage increase or decrease in price over a given period. It is usually expressed as a percentage, and the formula is: Price Change = (Closing Price – Opening Price) / Opening Price
Investors often track price changes across different timeframes such as daily, weekly, or yearly, to better understand market trends.
Range refers to the level of price fluctuations within a given period, usually expressed as a percentage. The formula is: Range = (Highest Price – Lowest Price) / Current Price
Range reflects the degree of market volatility, the larger the range, the higher the volatility. For investors, range serves as a useful indicator for assessing market risk and helps them develop appropriate risk management and trading strategies.
To better understand price change and range, let's use BTC as an example:
Closing Price: 113,137.63 USDT
Opening Price: 112,925.44 USDT
Price Change = (Closing Price – Opening Price) / Opening Price = (113,137.63 – 112,925.44) / 112,925.44 = 0.188%
Highest Price: 113,253.68 USDT
Lowest Price: 112,925.44 USDT
Current Price: 113,137.63 USDT
Range = (Highest Price – Lowest Price) / Current Price = (113,253.68 – 112,925.44) / 113,137.63 = 0.2901%
Price change and range are key tools for assessing market trends. By observing changes in price change and range over different time periods, investors can determine whether the market is in an uptrend, downtrend, or a consolidation phase. At the same time, the degree of range reflects overall market volatility, helping investors gauge the level of market activity.
Risk management is essential in the investment process. By understanding market price change and range, investors can better evaluate volatility risks and set appropriate stop-loss and take-profit strategies. For example, in a highly volatile market, investors may set wider stop-loss levels to avoid being prematurely stopped out due to sharp price swings. At the same time, they may also set higher take-profit targets to fully capitalize on profit opportunities created by large fluctuations.
Price change and range also play a direct role in trading decisions. In volatile markets, investors may choose to buy during pullbacks or sell during rebounds to capture more favorable entry and exit points. Conversely, in markets with excessive volatility, investors should take a more cautious approach to avoid unnecessary losses from impulsive trades.
As a leading cryptocurrency trading platform, MEXC provides investors with convenient access to price change and range data. The viewing process is the same for both Spot and Futures trading.
1) Log in to MEXC: First, log in to your MEXC account.
2) Enter the Spot trading page: On the homepage or in the navigation bar, select Spot Trading.
3) Select OriginalCandlestick Chart: On the trading page, choose the Original Candlestick Chart view for a clearer visualization of price movements.
4) View data: At the top of the chart, you’ll see real-time Price Change (%) and Range (%), helping you stay on top of market dynamics.
Market Trend Analysis: Price change and range help investors analyze overall market trends, determine whether prices are moving upward or downward, and assess the degree of volatility.
Risk Management: By understanding price change and range, investors can better manage risk, setting appropriate stop-loss and take-profit strategies to minimize losses and maximize potential gains.
Trading Decisions: Price change and range influence trading decisions. For example, identifying optimal entry or exit points in volatile markets, or avoiding unnecessary trades in overly volatile conditions.
Does a large price change always mean guaranteed profit?
No. A large price change simply reflects significant short-term movement. If the entry timing is poor, it can still lead to losses.
Does a large range automatically mean higher returns?
No. A large range indicates greater volatility, which brings both opportunities and risks. It may appeal to investors with a higher risk tolerance but requires disciplined risk management.
Should beginners pay more attention to price change or range?
Beginners are advised to consider both:
In investment analysis, price change is a key indicator of directional movement, while range reflects the degree of market volatility. Together, they provide investors with valuable insights into market conditions. On the MEXC platform, these two metrics can be accessed conveniently and displayed in a clear, intuitive manner. By incorporating both price change and range into their trading strategies, investors can strengthen their overall risk management. This enables them to better capture opportunities and mitigate potential risks in today's complex and fast-changing market environment.
Why Choose MEXC Futures? Gain deeper insight into the advantages and unique features of MEXC Futures to help you stay ahead in the market.
Disclaimer: This material does not constitute advice on investments, taxes, legal matters, finance, accounting, consulting, or any other related services, nor is it a recommendation to buy, sell, or hold any assets. MEXC Learn provides information for reference only and does not constitute investment advice. Please ensure you fully understand the risks involved and invest cautiously. All investment decisions and outcomes are the sole responsibility of the user.