Indicator Overview

The Realised Price Extensions indicator overlays dynamic valuation bands derived from the realised price (average cost basis of all coins), extended by key multiples: 4× for overvalued conditions, 1.6× for the mid-line, and 0.8× for undervalued zones. These levels create visual envelopes around the realised price, with semi-transparent fills highlighting periods of overextension (red) or underextension (green), providing a clear representation of market deviations from aggregate fair value. The realised price serves as the core trend anchor, while the multiples map cycle highs and lows, enabling contextual analysis of pricing within historical regimes.

How To Use

Overvalued signals emerge when Bitcoin’s price pierces the 4× band, indicating potential cycle peaks and heightened downside risk, whereas breaches below the 0.8× band suggest deep undervaluation and strong accumulation opportunities. The mid-line (1.6×) acts as a pivotal equilibrium, with crossings signalling regime shifts, upward breaks may confirm bullish momentum, while downward ones warn of bearish pressure.