Just as it started to look like the crypto market was staging a comeback and bracing for a new bull run, geopolitical tensions stepped in to drive the price of Bitcoin (BTC) below $40,000 again, with most altcoins seeing deep red as well. Such periods of market uncertainty, however, are not unprecedented, and digital assets’ individual history already holds information on the way their prices behaved under similar macro conditions previously.
Last week was not rich with impressive altcoin rallies, as the crypto market seesawed along with the twists and turns of the news cycle. Still, several assets that recorded solid price performances did so after showing off strong historical trading conditions. Here is how crypto traders could have detected these favorable outlooks and put them to use.
Detecting history’s rhymes
The VORTECS™ Score is an automated data intelligence tool, exclusively available to the subscribers of Cointelegraph Markets Pro, designed to spot assets’ individual conditions that in the past consistently appeared before big rallies. It looks at a menu of inputs — trading volume, price movement, tweet sentiment and others — and constantly compares their current combination to the asset’s historical performance data.
The more the algorithm is confident that the outlook is historically bullish, the higher the token’s VORTECS™ Score at any given moment. Scores of 80 and above appear when the model has strong confidence that the arrangement of data points looks very similar to those in the past that came in 12 to 72 hours before price spikes.
Of course, individual data patterns are to some extent correlated to the price of Bitcoin and the trends in the broader market; the rest of the variance, however, is unique to each token, providing useful information on the way a particular asset tends to behave under similar marketwide conditions.
Here’s how it played out last week with Telos’s TLOS, Unifi Protocol’s UNFI and Avalanche’s (AVAX).
TLOS: Anticipating a second leg up
VORTECS™ Score (green/gray) vs. TLOS price, Feb. 12 – 19. Source: Cointelegraph Markets Pro
Telos’ TLOS coin…