In this article, we explore WalletConnect's features, its native token (WCT) and how you can trade WCT on Bybit Spot and Futures.​

WalletConnect is an open source bridging protocol that facilitates secure connections between digital wallets and 

 (DApps). With over 38 million unique active wallets and 57,000 supported apps, it’s getting noticed by the crypto community. In this article, we explore WalletConnect's features, its native token (WCT) and how you can trade WCT on Bybit.​

 protocol that allows users to connect their mobile wallets to DApps via QR code. This eliminates the need for browser extensions, and enhances security by keeping 

The protocol supports a wide range of wallets and DApps, making it a versatile tool for users navigating DeFi and web3.

 is essentially a decentralized infrastructure that facilitates a uniformed way for users to easily connect their crypto wallets with thousands of DApps. It operates through a network of

 that relay messages, ensuring reliable and secure connections. The network's design emphasizes scalability and resilience, catering to the growing demands of DeFi. 

When a user initiates a connection between their wallet and a DApp, WalletConnect establishes a secure session through a relay server that enables encrypted communication, allowing users to interact with DApps directly from their wallets. 

The network's architecture ensures that messages are transmitted efficiently, maintaining a seamless user experience.​

The WalletConnect ecosystem comprises various stakeholders, including node operators, wallet providers and DApp developers. Node operators play a crucial role by maintaining the network's infrastructure and relaying messages. 

To incentivize participation, the network implements a rewards mechanism whereby node operators earn WCT tokens, based on their performance and contribution. Prominent organizations like Consensys, Ledger and Figment are among the network's node operators, underscoring its robustness and reliability.​

 is the native utility and governance token of the WalletConnect network. It has a total supply of 1 billion, 

Initially, WCT is nontransferable to ensure that tokens remain within the WalletConnect ecosystem, supporting its focus on network functionality and development. Based on discussions within the community, transfers will be enabled based on community consensus and future governance decisions.

Where to buy the WalletConnect token (WCT)

 on Bybit Spot, and as a Perpetual contract with up to 75x 

. Bybit provides a secure and user-friendly platform for buying and selling WCT, allowing users to participate in the WalletConnect ecosystem. 

How to trade the WalletConnect token (WCT) on Bybit

Bybit's platform ensures efficient execution and provides various tools to assist users in their trading journey with ease.​ 

Intermediate

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WalletConnect (WCT): Bridging web3 beyond wallets and DApps

Circle has launched the Circle Payments Network (CPN), a global payment solution designed to streamline cross-border transactions using stablecoins like USDC and EURC for real-time settlement. 

The S&P 500 rose 2.51% as investor confidence improved following President Trump’s support for Fed Chair Powell and hints of easing U.S.-China trade tensions, despite tempered optimism and Tesla’s earnings miss. Gold rebounds toward $3,400 as the US Dollar weakens and investor caution lingers over US-China trade and Fed concerns. Technicals suggest a possible pullback, with focus shifting to upcoming S&P Global PMI data. The Coindesk Indices, which tracks the broader crypto market, rose 7.46%, with Bitcoin and Ether up 4.68% and 7.70%, respectively, in the past 24 hours. Trade these markets and more with up to 500x leverage on Bybit MT5 using this 

Today's top performer is DEEP, up 122.1%, following the launch of DeepBook v3.1 on Sui, which unlocks permissionless pools, enhanced balance management, and cost-efficiency for DeFi.

DeepBook (DEEP), launched on July 12, 2023,  is Sui’s native liquidity layer, using a central limit order book to enable high-throughput, low-slippage, and low-fee trading. 

, introduces several key upgrades: permissionless pools, revamped fee mechanics, and enhanced balance management. These changes make DeepBook more accessible, composable, and cost-efficient for DeFi users. Permissionless pools allow anyone to create custom trading pairs, while the enhanced balance manager supports third-party liquidations and improves protocol stability and user experience.

Check out the latest prices, charts, and data of 

, a global payment solution designed to streamline cross-border transactions using stablecoins like USDC and EURC for real-time settlement. CPN offers faster, programmable, secure, and always-available money movement for financial institutions. It supports services like invoice payments, remittances, treasury services, and payroll payouts. Over 20 design partners, including dLocal, WorldRemit, and BVNK, are contributing to building a more efficient global payments infrastructure.

Yesterday, Bitcoin spot ETFs saw $719.2M in total inflows, with $654.1M from non-GBTC funds and $65.1M from GBTC.

 its incentivized testnet, allowing users to earn $SO tokens by testing its cross-chain lending platform. By supplying and borrowing assets across chains and completing quests, participants earn "Seeds," which will convert to $SO at TGE. Powered by LayerZero, Soul aims to unify liquidity across blockchains.

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Circle launches Circle Payments Network for faster, secure global transactions using stablecoins

VeChain (VET) is a blockchain platform focused on sustainability, using eco-friendly technology to support green initiatives across industries and drive a more sustainable future.

Sustainability is now the name of the game across many industries. The blockchain industry is one of them, with several projects aiming to reduce the energy impact of their operations or support green causes in other ways. However, on closer inspection, sustainability has received much less attention in the world of blockchain technology than many people may assume. Indeed, the industry's two leading data portals, CoinGecko and CoinMarketCap, have no "Sustainability" or similar category, despite coming up with hundreds of other classifications.

Some smaller-cap projects outside of the top 100, such as 

 (IOTA), do focus on supporting environmental causes. But in the entire list of top 100 cryptocurrencies by market cap, only one project can confidently be described as having sustainability as its key pillar — 

With a market cap of $2 billion (as of the time of writing on Apr 22, 2025), VeChain stands head and shoulders above any other crypto project in the sustainability niche. The project has been fully operational since 2018, and is among the oldest environmentally focused blockchain initiatives. In short, if we talk about sustainability and blockchain, it would be disingenuous not to mention VeChain and its 

Having championed green blockchain causes since 2018, VeChain announced a significant upgrade initiative in late 2024 to be rolled out in stages during 2025. Called Renaissance, it’s envisioned to further solidify VeChain's position as the leader of eco-friendly blockchain use and introduce a host of technical improvements. In fact, 2025 is the year of the most fundamental upgrade to this notable industry player in its entire history on the market, so it's precisely the time to revisit this project in our coverage.

VeChain (VET) is a decentralized project designed to support sustainability-focused blockchain use cases across various industry verticals.

 The company was first conceptualized and founded as a blockchain project in 2015 by Chinese technology professional Sunny Lu. It launched its Layer 1 network, VeChainThor (VTHO), in mid-2018, becoming one of the first decentralized initiatives to support eco-friendly applications on-chain. The VeChainThor network features low transaction fees and high levels of scalability.

For years, the VeChain blockchain has remained probably the leading decentralized platform in the niche of sustainability. As of April 2025, it retains the leadership position, and is ranked 56th among all cryptocurrencies, with a market cap of $2 billion.

VeChain's sustainable blockchain technology

Many blockchains claiming to support environmental causes typically use the 

, which is indeed much more energy-efficient than the power-hungry 

 (BTC). By using PoS, these blockchains have boldly announced that their energy use is much lower than Bitcoin's. While this is true, these platforms are essentially general-purpose networks that don't specifically design their operations with any particular sustainability use case in mind.

Instead of these two typical consensus mechanisms, the VeChainThor blockchain uses 

 (PoA), touted to be even more energy-efficient than the standard PoS employed by 

 chains. In a typical PoA consensus, a smaller number of validators with "authority" — i.e., a history of reliable behavior on the network — are entrusted to process blocks. This is in contrast to PoS, whereby many validators take part in the staking contest to outperform each other in terms of token holdings. They then receive the right to validate the next block, and have to constantly align their consensus process with other 

As a result, PoS is usually less energy-efficient than PoA. VeChain's PoA model elegantly combines efficient processing, minimal energy use and high levels of enterprise-grade security.

The VeChainThor blockchain network's processing engine also features compatibility with the 

 (EVM), making cross-chain communication with the Ethereum world much easier for VeChain developers and 

PoA block validation isn’t the only sustainability-minded feature of VeChain. Unlike many other popular chains, VeChain also directly enables sustainability use cases, primarily by utilizing its tamperproof and transparent data-tracking mechanism. Thus, enterprises across different industries can track and reliably verify the origin of goods and their sustainability status for eco-friendly supply chain management. For instance, supermarket chains can use the platform to track and verify the carbon footprint of the produce they source; logistics companies can calculate the overall emissions generated along their supply chains; and fashion brands can track sustainable sourcing of materials used for their product lines.

Besides its own blockchain, the project also offers a blockchain-as-a-service (BaaS) platform, VeChain ToolChain, to help businesses integrate VeChain's technology into their business processes via standardized smart contract services.

To further position itself as a champion of sustainability, VeChain launched 

 represents an on-chain ecosystem of DApps that reward VeChain users for completing various eco-friendly tasks, such as using reusable coffee cups, shopping for organic products, picking litter off streets and more. VeBetterDAO is the project’s foray into the individual consumer side of environmentalism, which complements the VeChain platform’s long-standing sustainability features for the enterprise world.

In late 2024, VeChain first announced its planned multi-stage upgrade, Renaissance, to make the platform even more efficient. Its changes are envisioned to take place gradually throughout 2025, and possibly beyond. The Renaissance upgrade touches many parts of the platform, with three key areas involved — a new VeChain staking and node model, technical updates and changes to the dual token mechanism. We'll cover the first two areas below, and the changes to VeChain’s tokenomics in the next section.

VeChain’s PoA block validation model uses a group of 101 trusted Authority Masternodes (AMs) who will fully transition to Validators under the new Renaissance model by December 2025. Each Authority Masternode is approved by the VeChain Foundation. These nodes are responsible for generating transaction blocks. You’ll need to 

 at least 25 million VET to participate in block production, which occurs in fixed 14-day cycles.

Under the platform’s pre-Renaissance model, there are two more types of specialized nodes — Economic and X-Nodes — who stake their tokens to a selected AM/Validator and participate in 

 on the platform. After the Renaissance upgrade is fully rolled out, Economic nodes and X-Nodes will be replaced by a tiered system of Delegator nodes.

Delegators will need to stake a certain amount of VET tokens to mint Delegator 

, which will entitle them to different grades of staking reward multipliers. The more you stake, the higher grade of NFT you receive, and the higher your staking rewards will be. When blocks are produced, AMs/Validators will receive 30% of the total block reward, with the remaining 70% going to holders of the Delegator NFTs.

The image below shows the new Delegator NFT–tiered model, with minimum VET staking requirements and reward multipliers.

While the VeChainThor network is EVM-compatible, there are still differences between its technical parameters and the standard EVM used by Ethereum. For this reason, the Renaissance upgrade aims to reach full EVM compatibility, including implementing the JSON-RPC (

remote procedure call) extensively employed within the Ethereum blockchain.

As part of the Renaissance upgrade, the project will also introduce a new set of tools to achieve more seamless cross-chain capabilities. This will involve integrating new 

The VeChain token model has always been based on two cryptocurrencies: VET and VTHO. VET is the 

 that acts as the main means of value storage and transfer on the platform, while VTHO is used to pay for gas. Now, the Renaissance upgrade also changes the way the dual-token mechanism operates.

Before the upgrade fully kicks in, VTHO is still generated by simply holding VET. After the Renaissance, only staked VET will generate new VTHO for the holder. This should better align VTHO with the active participation of users on the platform. VTHO's inflation rate will also be cut by over 70%, as its issuance will be aligned to a new emission model that considers the total amount of VET staked on the platform.

To further reduce the inflationary properties of VTHO, 100% of all base transaction fees on the network, which are all paid with VTHO, will be 

VET is the platform’s value transfer and storage token. It’s also used for governance and access to various features and apps on the network. VET is a supply-capped token with a max supply of just over 86.7 billion. These properties will not change following the Renaissance upgrade.

VTHO, which is used to pay for gas fees on VeChainThor, is an inflationary token with an uncapped supply. It currently has a total supply of almost 88,7 billion. As noted above, after Renaissance, VTHO will be generated via staking only, and will feature a burn mechanism to reduce its inflation rate.

t as a swap pair with USDT, and on the Derivatives market as the 

In addition, you can take advantage of Bybit’s event dedicated to the VET token to grab a share of a 

. New users can earn VET rewards by accumulating a deposit volume of at least 5,000 VET, or by depositing at least 100 USDT and trading 100 USDT worth of VET via their first Spot trade using their Bybit account. Meanwhile, existing users can also qualify for rewards by trading at least 500 USDT worth of VET on the Bybit Spot market. The event runs through Apr 28, 2025, 9AM UTC.

As of Apr 23, 2025, the VET token is trading at $0.02576, which is 90.8% lower than its ATH of $0.281 on Apr 19, 2021, and 1,243.2% higher than its ATL of $0.001917 on Mar 13, 2020.

Long-term price forecasts for VET are mostly bullish. DigitalCoinPrice 

 of $0.088 in 2027 and $0.14 in 2030, while PricePrediction 

In the long term, VET might even rise to $1, at least according to PricePrediction’s forecast. Its portal is highly optimistic, estimating that VET will hit the $1 mark in 2034.

You might consider investing in the VeChain token VET based on the following:

When Sunny Lu created VeChain in 2015, his vision focused on sustainability issues. VeChain's work in this area has led to the creation of the first decentralized network truly dedicated to making a tangible environmental impact. The entire VeChain ecosystem — including the VeChainThor blockchain platform, VeBetterDAO and VeChain Toolchain — continues to serve as a significant enabler of sustainable technology in the business world.

Now, with the Renaissance upgrade being rolled out for the duration of 2025, VeChain aims to solidify its leadership in this sphere. With the Renaissance upon us, it's hard to see any blockchain platform that could challenge VeChain in the area of sustainability anytime soon.

Vechain.png

What is VeChain (VET): Building a sustainable future for all

StablR USD (USDR) is a MiCA-compliant stablecoin, fully backed 1:1 with USD, offering secure, transparent digital payments in the European economy.

 continues to gain ground in the crypto world, most countries are leaning toward having a framework to govern and regulate these digital assets. One such framework is the Markets in Crypto-Assets Regulation (MiCAR, or MiCA for short), the European Union’s gateway for regulating digital assets that aims to provide legal clarity, consumer protection and financial stability.

 — particularly those pegged to fiat currencies — must meet strict standards for transparency, reserve backing and operational governance to be approved for circulation in the EU.

StablR USD is a fully MiCA-compliant, eurozone-issued stablecoin pegged 1:1 to the United States dollar. Built with regulatory alignment at its core, StablR offers a transparent, secure and compliant digital dollar solution tailored for the European market, making it a key player in the future of regulated digital finance.

Let’s learn more about this electronic money token and stablecoin.

 is a company that offers MiCA-compliant electronic money tokens (EMTs) pegged to the dollar at a ratio of 1:1 to each of its fiat equivalents. 

 to provide transparent, secure and regulatory-compliant EMTs that fuel the global economy.

The Malta-based Dutch company currently offers two MiCA-compliant stablecoins: EURR and USDR. EURR is a fiat-backed stablecoin, pegged to the euro 1:1, that runs on the Ethereum blockchain. Meanwhile, USDR is its US dollar–backed stablecoin counterpart that can be redeemed for its fiat equivalent at any time.

StablR is keen on transparency, providing a 

 (PoR) page that shows the current supply and reserves available for its stablecoins. The company leverages a trusted banking custodian to ensure the reserves match or exceed the issued stablecoins.

StablR USD (USDR) is a eurozone-issued, MiCA-compliant 

 fully backed 1:1 with US dollar reserves held in EU-regulated financial institutions. Designed for stability, transparency and regulatory alignment, it offers a secure and compliant gateway to digital finance within the European Union (EU).

Importantly, StablR USD (USDR) isn’t the same as Real USD (USDR), a separate token that recently experienced a significant depeg. StablR USD maintains full transparency and stability, offering real-time reserve attestations, strict compliance with MiCA regulations and the right of redemption for authorized users. This ensures that each USDR can always be redeemed for $1. 

With its strong regulatory foundation and commitment to transparency, StablR USD is positioned as a trusted stablecoin for the future of tokenized finance in Europe.

An electronic money token (EMT) is a type of crypto asset defined under MiCA. EMTs are digital representations of fiat currency — just as the euro or StablR USD (USDR) is a eurozone-issued, MiCA-compliant stablecoin fully backed 1:1 with US dollar reserves held in EU-regulated financial institutions. Essentially, EMTs are a form of stablecoins, and are digital versions of traditional e-money, combining the speed and efficiency of blockchain with the reliability of government-issued currencies.

To be classified as an EMT under MiCA, a stablecoin must meet strict regulatory requirements, including full reserve backing, daily redemption rights and transparency around reserve holdings. Issuers must also be authorized by an EU financial authority, and comply with ongoing audits and consumer protection measures.

EMTs are designed to enable everyday payments, digital commerce and cross-border transactions, offering a compliant and stable alternative to more volatile crypto assets.

You can buy USDR on Bybit’s Spot trading platform (Netherlands only), where it's available as part of two pairs, USDR/USDT and BTC/USDR.

To celebrate the listing, Bybit is holding three special events 

 that will run through May 11, 2025, 9AM UTC. You need to register for the events to get started.

As MiCA regulations take hold, StablR USD (USDR) is leading the way in trustworthy, tokenized value powered by blockchain technology. Its diverse range of use cases, from payments to DeFi, position it as a cornerstone for compliant digital finance. A reliable, MiCA-compliant stablecoin that’s purpose-built for the European digital economy with full 1:1 USD backing held in regulated EU financial institutions and the right of redemption, StablR delivers trust and security in the rapidly evolving stablecoin market.

usdr stablecoin.png

StablR USD (USDR): A trusted digital dollar for a borderless economy

Candlestick

Trading

A shooting star is a bearish reversal candlestick pattern with an extended upper shadow with a little lower shadow. It appears to signal traders a trend reversal is coming. Learn how it works.

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The shooting star candlestick pattern is a single candle formation used by crypto traders to identify bearish reversals. Crypto traders who long the market use the shooting star pattern to identify when to exit their positions. Other crypto traders may use the pattern to identify short entries into the crypto market.

Crypto traders love this pattern because it’s easy to spot, then trade its signals. When the pattern is used in conjunction with other tools like Fibonacci retracements or other trend line resistance levels, it can create strong signals.

What Is a Shooting Star Candlestick Pattern?

A shooting star candlestick pattern occurs when an appreciating asset abruptly reverses lower, leaving behind a long upward wick. It is viewed as a bearish reversal candlestick pattern. This pattern often appears at the top of uptrends.

The psychology behind the pattern can be a little complex. First, traders see an uptrend with the continued strengthening of prices. Nervous traders on the sidelines watching the price appreciate worry that they might miss out. Due to this “FOMO,” traders then buy into the market, pushing the pricing even higher. This effectively attracts bullish traders into the market, which becomes a strong setup for a reversal.

As the market accelerates higher, the candle starts large and bullish, but a trap is set — and the market begins to decline as fast as it increased that day, closing the candlestick relatively close to where it opened.

Shooting star candlestick patterns are commonly seen in all markets, especially in crypto markets. Crypto traders are used to volatile price movements, and the shooting star candlestick pattern is a volatile bearish reversal after a long uptrend. A bearish shooting star appears and is confirmed when the candlestick’s low and close are equal.

What Does a Shooting Star Pattern Look Like?

There are essentially four parts that make up the perfect shooting star pattern. We’ve illustrated them in the image below.

A shooting star candlestick pattern starts with a large uptrend of the price at point 1. This helps set a trap for the bullish traders, as they may experience FOMO on the trend.

The next candle in the trend is where the traders get trapped. First, the FOMO on the uptrend kicks in as more traders enter the market by the influence of an uptrend. This creates the beginning of what appears to be a large bullish candle (point 2).

Then, the uptrend abruptly reverses and begins to retrace most of the recent price gains at point 3.

The candle formation is confirmed when it closes near the opening price, leaving behind a small body at point 4. The color of the candle body does not matter, as it could be red, green, black or white.

, the most important aspect of the candle pattern is the very long upper shadow, a little to no lower shadow, and a relatively small real body near the day’s low. This wick needs to be very long, generally about two to three times the length of the body of the pattern.

At first glance, the shooting star candlestick pattern looks a lot like the 

. In isolation, they are essentially the same pattern. However, the biggest differences between these patterns are where they appear and what to expect of the outcome.

The shooting star formation appears after an extended uptrend. Once the shooting star forms, then prices correct lower to begin a new downtrend.

On the other hand, an inverted hammer occurs at the end of a downtrend. Once the downtrend exhausts, buyers try to push the market higher but are unsuccessful, and the market retreats lower, creating a large wick to the upside and a small candle body.

Once the single candle inverted hammer pattern is finished, the market will rally, creating a new uptrend. Thus, confirming a reversal pattern.

In essence, these two single candlestick patterns are identical, but their location in response to the previous trend distinguishes the shooting star from the inverted hammer.

The shooting star and the hammer pattern are great 

 that signify the opposites. The significant difference between these two patterns is that the shooting star candlestick appears to have a long upper shadow (wick) to the upside with a small lower body. The shooting star appears at the end of an uptrend, and its presence implies that the market is about to correct lower.

 has a long lower shadow with a small upper body. The hammer pattern appears at the end of a downtrend, and its presence implies that the market is about to rally into a prevailing uptrend.

The essence of the shooting star pattern is a 

 that pulls long traders into a bullish trend as they anticipate more highs, only to see the market abruptly reverse lower. This pattern becomes even more effective when it appears near other important price levels of resistance.

Appearing near resistance applies more fuel to the pattern’s strength, as long breakout traders who are experiencing FOMO anticipate the break.

Near these resistance levels, breakout traders will push the prices higher to create a short squeeze. However, if the breakout doesn’t continue higher, then the sellers step in, forcing the market lower. As the pricing moves down, the stop losses of the breakout traders are hit, triggering additional selling pressure to the price.

This creates a false breakout higher, which leaves behind a long wick to the upside.

Therefore, the key ingredients to look for in the shooting star candlestick pattern include:

As we’ve seen, the shooting star pattern is a single candlestick pattern that signals a potential correction coming in the market. The signals are stronger when the pattern is spotted after an uptrend, as it alerts the trader to the potential of a new downtrend.

It is technically not a shooting star pattern when this pattern occurs in the middle of a trend or after a downtrend. If the shooting star is witnessed in a downtrend, the result of the pattern may not be a continuation of the downtrend. As a result, shooting stars in the middle of a trend or after a downtrend should be ignored.

A shooting star formation does not require other indicators to spot it. However, other indicators can be used to confirm and strengthen the signal the shooting star pattern presents. Two of the most common indicators are Fibonacci retracement levels and other resistance lines, such as horizontal and trend line resistance.

 levels are hidden support and resistance levels, as they may not be obvious to new or intermediate crypto traders. The Fibonacci retracement tool can be applied to a price chart, revealing levels where a market might reverse.

When a shooting star pattern appears near one of the important Fibonacci retracement levels, then the signal of the shooting star is strengthened.

In March 2021, Ethereum rallied about 25% to reach the 50% Fibonacci retracement level. Ethereum then tried to rally above that level, only to be rejected and pushed back down. This price action left behind a long wick to the upside, which was more than three times the length of the candle body, confirming the shooting star pattern. This formation suggested that a correction may be on the horizon.

Sure enough, Ethereum fell about 13% over the next couple of days. If a shooting star pattern appears after an uptrend near a common Fibonacci retracement level, then you have a confirmation signal to the pattern.

Fibonacci retracement levels are simply hidden levels of 

. Therefore, other forms of resistance are more obvious to traders, and they help strengthen the shooting star signals, too.

Horizontal resistance is a previous swing high extrapolated horizontally to the right on the chart. Above, we can see Bitcoin reaching a high in late May 2021, creating a horizontal resistance level. Later on, in June 2021, Bitcoin rallies to meet this horizontal resistance, and a shooting star candle pattern appears.

This pattern is most likely the result of bullish traders getting trapped into buying recent new highs. Bitcoin pushes higher slightly above the resistance level, only to see the bears take back control and push pricing lower.

This is a bearish combination that suggests a downtrend may begin. Once this pattern appears near resistance, Bitcoin prices fall nearly 30% over the next week to reach a new low just below $29K.

Using Shooting Star Candlestick Pattern to Spot a Bearish Reversal

The shooting star candlestick pattern can signal a bearish reversal. There are two ways to trade the signal, depending on whether you’re a more conservative or aggressive trader.

First, if a trader is already positioned to the long side when a shooting star candle pattern appears, then the formation may signal that it’s time to exit the trade or tighten the 

. The candlestick pattern provides a clue about a potential trend change, and the long trader will want to consider locking in profits before the market corrects lower.

Secondly, if the trader is more aggressive, they may want to jump into a short position at the first symptom of a potential turn lower. After the pattern forms, the trader would enter short on the open of the next candle.

The stop loss would be placed just above the candlestick’s wick high. The trader would look to take profit at a distance at least twice the size of the risk.

There’s nothing wrong with identifying with this aggressive trading style, as long as you understand the additional risks. For example, this approach includes a greater chance of getting stopped out of a trade. The market could reverse against your position and rally higher to tag your stop loss, causing you to eat a losing trade.

The benefit of the aggressive style of trading is its entry price. Due to the early entry into the position, the entry would be at a better (higher) price, making it easier to reach a good risk-to-reward ratio trade.

If you want a more conservative approach to trade with the shooting star candlestick, consider using a support trend line as the trigger.

Once the shooting star pattern appears, draw an upward sloping support trend line. Then, as the price crosses below the trend line, enter short into the position. The stop loss would be placed just above the wick’s high, and the target should be at least twice the distance from the stop loss to the entry price. This way, you can maintain a positive risk-to-reward ratio on the trade.

The benefit of using the more conservative approach is that you should receive fewer false signals. The downside is that the width of your stop-loss is much wider than with the aggressive approach. This means that the market needs to travel farther for you to maintain a positive risk-to-reward ratio.

The shooting star candlestick pattern is effective for identifying potential bearish turns in the market. However, the pattern should not be relied upon exclusively for trade signals, as it does come with limitations.

First of all, the shooting star pattern can be applied to any chart time frame — but it’s more effective on daily and weekly charts. If the pattern is spotted on a minute chart, there’s a greater possibility of it being a false signal because less trading information is going into the creation of each candle.

Secondly, the shooting star is a single candlestick pattern that inevitably requires fewer data to create relative to other patterns. For example, the bearish engulfing pattern is a two-candlestick pattern, and the evening star is a three-candlestick pattern. These patterns require more candlesticks and, thus, more data to create them.

Lastly, smaller cryptocurrencies have less trading volume taking place. Therefore, if the shooting star pattern is spotted on smaller-sized cryptocurrency charts, there’s a greater chance that a false signal is forming. Though the shooting star can be used for any cryptocurrency, it’s best used to identify bearish pivots on the larger ones.

The shooting star pattern is a single candle pattern that is effective at identifying tops on large cryptocurrencies. Traders widely use the pattern because it’s easy to spot and can be used on any chart time frame.

Other tools, like the Fibonacci retracement drawing or horizontal and trend line resistance, help confirm the shooting star pattern’s signals. However, the shooting star pattern has its limitations and should focus more on larger cryptocurrencies on hourly, daily, or weekly time frames.

Candlestick Patterns Professional Traders Use

 – A curated list of candlestick patterns most frequently used by traders

 – Learn the basics of candlestick patterns

 (Chart basics: trend, neckline, wedges)

How to Use Shooting Star Candlestick Pattern to Find Trend Reversals

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