With the terminology all time high you can probably imagine something. In the cryptocurrency world, it has a specific meaning, which you also know after reading this short lesson.
✔️ All-time high (ATH) refers to the highest price something has ever had.
✔️ The ATH can be a good reference point for buying a currency, but this can also be misleading.
✔️ It is better to study past cycles and make an estimate, rather than assuming an ATH.
All-time high (ATH) refers to the highest price something has had. For example, when we talk about Bitcoin's ATH, we mean that Bitcoin has ever had this maximum price. During the bull market, any coin can reach unprecedented highs.
This highest point is often used as a reference point by CoinGecko, for example, comparing the current price to the highest in percentage terms of this. For example, if it says -50%, then the current price for Bitcoin is half of how high it once was.
The all-time high price of a cryptocurrency can be a good reference point to focus on when buying a coin, but it can also be deceptive. For one coin, such as Bitcoin, the ATH can be a good indication of its future price, but for another coin, such as Bitcoin Cash, it may never come close to its ATH again.
So don't stare blindly at an ATH as an indication for a purchase. It is better to study past cycles and make a reasonable estimate of whether a coin's ATH will ever be achieved.