Bitcoin CME gaps refer to disparities in price between the closing price on a specific trading day and the opening price on the subsequent trading day on the Chicago Mercantile Exchange (CME), one of the world’s largest and most diverse financial exchanges. The CME serves as a marketplace for various financial derivatives, commodities, and other investment instruments.
The existence of Bitcoin CME gaps arises because the cryptocurrency market operates during weekends when traditional markets like the CME are closed. Consequently, variations emerge between the closing price on Friday and the opening price on Monday.
On Bitcoin charts, identifying CME gaps involves comparing the price levels where the Friday close and Monday open differ. Traders often pay attention to these gaps as they may later serve as significant support or resistance levels. Are there different types of Bitcoin CME gaps to explore?
Indeed, there are three primary types of CME gaps: common, breakaway, and exhaustion. Common gaps are swiftly filled and are characteristic of routine market movements. When a gap is filled, it indicates that the price has returned to the level where the gap initially occurred. Breakaway gaps signify the commencement of a strong trend and manifest during major price fluctuations. Conversely, exhaustion gaps suggest the conclusion of a trend and a potential reversal.
Looking for Blockchain Development, NFTs, Website Design, Token Creation, or Other services? Reach out to us at WebGTR. Let’s discuss and bring your vision to life.
Website | Twitter | Instagram | Telegram Official Group | WhatsApp
Leave a Reply