Pricing Meanreversion Index Meanreversion Index
Bitcoin
The Mean Reversion Index measures how far price has deviated from a long-term mean model and its tendency to revert.
Why it matters
It flags overextensions likely to snap back toward fair value.
How it is built
Price deviation from a long-term mean is normalized into an oscillator.
What to watch
Extreme readings signal stretched conditions with elevated mean-reversion probability.
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