Why crypto prices are so hard to predict
Noise, fairly efficient markets and sudden regime changes make price direction very hard to forecast, even for advanced models.
If simple patterns reliably predicted prices, everyone would use them and get rich. That does not happen. Three big reasons explain why predicting the direction of a price is so hard.
Noise means random movement with no lasting meaning. On any given day, a price moves because of thousands of buyers and sellers with different reasons: someone needs cash, a large fund rebalances, a rumor spreads. Most daily moves are mostly noise. A model looking for a signal in noise often finds patterns that are just coincidence.
Pro unlocks all 72 Academy lessons, every quiz and the practice challenges. Six modules stay free forever.