CoinDesk Launches Bitcoin Trend Indicator
CoinDesk Indices (CDI), a CoinDesk subsidiary and the leading provider of digital asset indices by AUM since 2014, has launched the Bitcoin Trend Indicator (BTI). The BTI is a daily signal that uses a purpose-built, non-discretionary algorithm to convey the presence, direction, and strength of a trend in the price of bitcoin.
The signal broadcasts one of five possible values, each of which corresponds to an indicated direction and strength of trend in bitcoin price. The BTI is calculated daily using a non-discretionary methodology from historical daily levels of the CoinDesk Bitcoin Price Index (XBX). It has been backtested using XBX data over a five-year period.
Asset managers and investors can utilize the BTI for long-only dynamic allocation strategies. CDI has observed that a hypothetical portfolio of bitcoin and risk-free cash informed by the BTI has reduced exposure during “crypto winters” while still participating in price uptrends.
(With inputs from Shikha Singh)
You need to login in order to Like
