Last updated on February 10
This chart overlays multiple Simple Moving Averages on Kaspa's price action to smooth volatility and highlight trend direction, strength, and potential reversals. Simple moving averages calculate the average closing price over set periods, creating dynamic support/resistance levels that lag price but confirm momentum. Compared to Exponential Moving Averages (EMA), SMA gives equal importance to all data points,whereas EMA weighs recent prices more heavily. SMAs are smoother, providing better analysis for long term trends whereas EMAs are more responsive, providing better analysis for short-term trading (with the caveat of mistakenly providing more false signals (whipsaws).
How to Read the Chart:
The Chart consists of the following components:
The Kaspa Market Price (The White Line) is recorded in USD and plotted against the price on the y-axis and time on the x-axis from just before January 2023 to the present time. This shows the spot USD price for raw action.
7 Days Moving Average (Red Line): is recorded in USD and plotted against the price on the y-axis and time on the x-axis from just before January 2023 to the present time. This short-term time frame shows quick trend gauges.
30 Days Moving Average (Orange Line): is recorded in USD and plotted against the price on the y-axis and time on the x-axis from just before January 2023 to the present time. This monthly time frame shows near-term price swings.
50 Days Moving Average (Yellow Line): is recorded in USD and plotted against the price on the y-axis and time on the x-axis from just before January 2023 to the present time. This medium-time frame moving average balances the speed vs reliability, which shows swings, showing the balanced medium-term trends.
100 Days Moving Average (Green Line): is recorded in USD and plotted against the price on the y-axis and time on the x-axis from just before January 2023 to the present time. The 100-day moving average shows the intermediate support/resistance levels.
200 Days Moving Average (Aqua Line): is recorded in USD and plotted against the price on the y-axis and time on the x-axis from just before January 2023 to the present time. The 200-day moving average shows the long-term outlook of whether an asset is in a bull or bear market.
100 Weeks Moving Average (Dark Gray Line): is recorded in USD and plotted against the price on the y-axis and time on the x-axis from just before January 2023 to the present time. This shows the overall macro cycle.
Generally, when the price is above rising MA lines, this represents uptrend strength.
When the price falls below the MA lines, this represents downtrend dominance.
More specifically, when a short moving average (MA) line, like the 50-day or less, crosses above a long MA line, such as the 200-day, this is known as a Golden Cross, and confirms a bullish trend.
On the other hand, when a short MA crosses below a long MA, this is known as a Death Cross, and confirms a bearish trend.
Why is this important?
Moving Averages act as dynamic resistance and support and how the price interacts with them, revealing if price honors these levels (bounces signal strength; breaks indicate weakness).
Price trading above a stack of rising MAs confirms bullish conviction, with sustained holds above the 200-day MA often preceding major rallies. Conversely, breaks below key MAs like the 200-day warn of deeper corrections, while golden/death crosses (short MA over/under long MA) have historically timed cycle turns.
Want to learn more?
Pair with Kaspa's Realized Price and MVRV Z-Score for on-chain confirmation of technical setups.