System Overview
The Intra-Cycle Valuation System integrates multiple advanced metrics to assess Bitcoin's market conditions. The system evaluates critical market aspects, including momentum, volatility, and profitability.
The key metric is calculated as the average of individual indicator scores, providing a comprehensive snapshot of Bitcoin’s current market status. A moving average of this metric helps smooth out short-term fluctuations, enhancing trend identification.
This system offers insights into overbought and oversold conditions by comparing the moving average score against predefined thresholds, signaling potential market reversals.
How To Use This System
The Intra-Cycle Valuation System identifies potential buying and selling zones based on its value relative to predefined thresholds.
Buy Zone:
When the system’s value crosses below the green line, it suggests a favorable buying opportunity, indicating that the market may be oversold.
Sell Zone:
When the value crosses above the red line, it suggests considering taking profits, indicating that the market may be overbought.
The strength of the signal is determined by the distance from the central line (0). The further the value is from the center, the stronger the buy or sell indication.
Created By
Alpha Extract in May 2024