Introduction Cryptocurrency markets are known for their high volatility, presenting both opportunities and risks for traders. To navigate these markets successfully, it's important to understand various technical indicators to help identify potential trends and reversals. Two commonly used terms in cryptocurrency trading are "overbought" and "oversold" signals. In this article, we will explore the key differences between overbought and oversold signals, and how traders can leverage this information to make informed trading decisions. Define Overbought and Oversold Signals When a cryptocurrency is deemed overbought, it means that its price has risen rapidly and is potentially due for a correction or reversal. This indicates that the buying pressure has pushed the price to an unsustainable level, and a price decline or consolidation may occur in the near future. Conversely, when a cryptocurrency is oversold, it means that its price has fallen sharply and is potent...
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