Integrating Fintech-Driven Technical Analysis into Value Investing: A Study of Moving Averages in Cryptocurrency Market Dynamics

Abstract

This research explores the application of fintech-driven technical analysis, specifically focusing on moving averages within value investing. Using Coinbase as a case study, the study examines the effectiveness of moving averages in volatile market conditions where traditional metrics are less applicable. Historical stock data was exported from Yahoo Finance and analyzed using Excel, emphasizing the 30 vs. 10 moving average combination. This combination was chosen to balance short-term and long-term market perspectives. The analysis revealed that while moving averages effectively highlight trends and momentum shifts, they are lagging indicators and require supplementary analysis to account for external factors such as news and regulatory changes. Despite not being a precise predictive tool, moving averages provided valuable insights into market behavior, supporting the argument that fintech tools can complement traditional value investing strategies by offering real-time analysis and dynamic approaches to market assessment.