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Average True Range Bitcoin Analysis & ATR Bitcoin Signals

Created and Developed by J. Welles Wilder

This BTCUSD tool tracks volatility. It gauges bitcoin price swings over a set time. The ATR stays neutral and skips trend direction.

Average True Range for Bitcoin - ATR Indicator on BTCUSD Charts

High ATR indicator values

High Average True Range indicator values indicated market bottom after a selloff.

Low ATR indicator values

Low Average True Range (ATR) values indicate prolonged periods of sideways movement in Bitcoin prices, such as those observed at market peaks and during consolidation phases. Low ATR values are characteristic of extended durations of sideways movement that occur at the top of the BTC/USD market and throughout consolidation periods.

Calculation

This btcusd technical technical indicator is calculated using the following:

  • Difference between the ruling high and the current low

  • Difference between the prior closing bitcoin price and the current high

  • Difference between the prior closing bitcoin price & the current low

The final Average is calculated by adding these values & calculating the average.

BTC USD Crypto Analysis and How to Generate Trading Signals

The Average True Range indicator can be analyzed in the same way as other indicators of volatility.

This signals a possible Bitcoin trend shift. Higher indicator values mean a greater chance of change.

This measures how strong the bitcoin trend is - a lower indicator number means the bitcoin trend is getting weaker.

Average True Range Basics - Bitcoin Buy Sell Signals - ATR Trading Tool

Analysis in BTC USD Trading

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