Definition ∞ Dynamic support describes a fluctuating price level that provides a floor for a digital asset’s price, adjusting in real-time based on market conditions or moving averages. Unlike static support levels, dynamic support adapts to recent price action, offering a more responsive indicator of buying interest. It reflects an evolving area of demand.
Context ∞ Dynamic support levels are frequently discussed in technical analyses within crypto news, helping traders and investors understand short-term price stability. Observing how an asset interacts with dynamic support provides insights into its immediate price outlook and potential directional shifts.
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