You are viewing a single comment's thread from:
RE: Behavioural Finance for Cryptoinvestors #2
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...
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.