Market Momentum

Market Momentum is the speed and strength of a price movement in a market. It indicates the rate at which a financial asset's price is moving in a particular direction. High momentum suggests strong investor interest and can signal potential continuations or reversals in trend. Traders and analysts use momentum indicators to assess market vitality and predict future price movements. By analyzing momentum, participants can make informed decisions about entering or exiting positions. Understanding market momentum is crucial for managing risk and optimizing trading strategies in both volatile crypto and traditional fiat markets.