I also think that herding is a major contributor to so called technical analysis. Without herding there would be no such thing as supports and resistance, but with enough people believing it it forms anyway...
RE: Behavioural Finance for Cryptoinvestors #2
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Behavioural Finance for Cryptoinvestors #2
Exactly! Technical analysis relies on a "self fulfilling prophecy". As long as enough people use technical analysis, trends, support and resistance lines actually come true.
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