I think it’s worth to check out the Z-Score for Bitcoin now. Reminds me the movements ...

... back in 2013 a little bit before the real bull run started. 📈 In statistics, Z-score shows a score’s relationship to the mean. In technical analysis, Z-score measures the difference between the closing price from n-period moving average given the n-period standard deviation. A Z-score of zero means the closing price is same as its moving average. Z-score could be positive or negative, and indicates whether the closing price is above or below its moving average. Z-score is positive when the closing price is above the moving average and negative when the closing price is below the moving average.

Z-score fluctuates around zero line based on the relationship of closing price to its moving average. Z-score is used to identify the volatility of price.Just like Bollinger bands, Z-score use a user selected standard deviation as the upper band and lower band of volatile scope. When Z-score breaks through the standard deviation, volatility is expanding. Modeling volatility in financial markets as much an art as a science because stock prices are not considered normally distributed and at times can be subject to long tails. ✨