Why don’t my charts match yours?
That’s one of the most common questions I get after posting a few charts on Twitter.
Most often, it’s the difference between using logarithmic and linear charts, which is really just a difference in how the y-axis is calculated.
In today’s issue, we’ll deep-dive into the meaning of logarithmic and linear charts. I’ll also share which one I use for cryptos and why, and then we’ll finish up with a few charts.
Let’s get it!
What Are Logarithmic Charts?
The only difference between logarithmic and linear charts is how the price scale (y-axis) is calculated. Everything else is identical.
Logarithmic (log) charts use a percentage of change to calculate the price scale and plot data points.
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