A big hello to everyone especially @stream4u and @yousafharoonkhan. @stream4u's conference taught me a lot about the science behind market analysis and predictions, it gave an excellent example with practical data and this time it's up to us to apply what was taught. Let us begin!

1.-What is price forecasting?

If we give a formal concept, price forecasting is the prediction on them, where, through analytical tools, we can predict the possible price of a cryptoactive for example. Now, here I ask and answer a question, is this an exact science? Well, as Gorge Box says,

"basically all the models are false, but some are useful"

This means that there is a set of models and tools to predict prices but nothing exact, however, we can resort to models or analyzes such as: technical, fundamental and / or sentimental analyzes (see @stream4u's conference, click here) or models such as Metcalfe's law, a model price regression, among others.

Another topic that I want to deal with supremely is the contrast of this new world (cryptocurrencies) with the classic or "old" economy, because today we notice that although some concepts are applied, there are new ones and some that are reformulated, and there are new variables, trends, the origin of the project, the orientation, everything moves in an interconnected network where any minimal change can abruptly affect a cryptocurrency (butterfly effect) of this I give a recent example: Turkey prohibits cryptocurrencies as a means of payment, consequently bitcoin falls next to a large set of cryptocurrencies. In summary we can see that this new type of economic practices and the classical economy are expensive of the same cryptocurrency!

With this I want to imply that to give a more precise analysis it is necessary to be aware of the environment that surrounds that asset.

2.- Why is price prediction necessary?

Without a doubt it is important, because without a predictive analysis or without having a notion of the market orientation and prices, we can invest, buy or sell in a bad situation and I will give the most logical example

Image of the conference cited above source

The teacher @stream4u gives us a perfect example. What if the teacher, without knowledge or predictive analysis, had sold at that time believing that it would continue to decline?

We can see that without a study and out of fear and ignorance without a notion of anything, selling that cryptoactive at that point (blue circle), would be losing in that period of time simply by not waiting and analyzing its behavior according to its patterns.

3.- What methods are best for price prediction / forecasting?

Without a doubt, the best methods of course end up being the one that covers more variables to decipher the price of an asset in the market, therefore we can say that we cannot depend on just one, but on several. for example:

Technical Analysis: this analysis is based on observing data from previous operations and predicting according to these to which the asset tends in the future, we can also use technical indicators (such as the MA, EMA or the stochastic oscillator are examples of these) offered by some platforms to help guide us

Fundamental analysis: This consists of looking for information about the cryptocurrency on which it is based that characterizes it, what is its trend in the market, how it is traded, its volume volatility, etc.

Sentimental Analysis: This analysis is more oriented to the human sense, if the operators feel that there are less risks, it may be tentative that they seek or encourage themselves in the purchase of that cryptocurrency, therefore, an almost anthropological analysis on the operators helps and provides more information to be able to predict the future price of a crypto.

4. Example of a price prediction

In this opportunity I will take the crypto ATOM since it is a crypto with which I am not very familiar and I would like to implement what they teach us here in the #cryptoacademy, so I will use the ATOM / USDT relationship

1 .- We are looking for a platform to observe trading, it may be Tradingview but I will use the same Binance

2 .- We select the cryptoactive that we want to study and stipulate the parameters.

3.-defined a resistance bar a support to be able to study or delimit a certain pattern of the price of this crypto

At this point they will ask themselves, what about this point?

Well, how do I do a current study and try to minimize the risk, I suppose it is a peak and it delimited the resistance bars based on the most frequent oscillation

4 .- Now we turn our attention to the possible future results, for this we observe that according to the movement pattern we have that it is possible that it continues to fall a little more and at the beginning of March it begins to rise again.

Therefore, with this we can take the possibility of buying ATOM and then selling in mid-March.

This is my entire delivery today, I hope it has been a great contribution to you as well as it was for me. Thanks #steemcryptoacademy