BTC Relative Strength.
An asset's strength against BTC, normalized to its 180-day baseline.The asset is trading 20%+ above its 180-day average ratio to BTC — the pair has overshot. Historically a window to lighten exposure; mean reversion has favored BTC strength after these moments.
The asset is trading 15%+ below its 180-day average against BTC — on sale relative to the macro benchmark. Historically an entry window; pair mean-reversion has favored the asset's strength after these moments.
The math is two lines: raw ratio = asset USD ÷ BTC USD, then relative strength = raw ratio ÷ 180-day SMA. The normalization removes long-term price drift, so only the cycle-scale deviation remains.
When the ratio sits at 1.0×, the asset is at its 6-month average pair-strength vs BTC — neutral. Below 0.85× = stretched bearish (selling at a discount to BTC). Above 1.20× = stretched bullish (the pair has front-run its trend).
On TA forums this style of indicator is called pair mean reversion. The bet is that an asset's ratio to BTC oscillates around a baseline that captures secular adoption, and short-term deviations tend to revert.
Why 180 days? Shorter windows (30-60d) chase noise; longer windows (year+) blur the signal across cycles. 180 days is a quarter-to-half cycle on most cryptos — long enough to be stable, short enough to react.
Asset selection: the indicator works for any asset measured against BTC — TAO, TIG, or any coin. The read is direct — RS low means the asset is cheap vs BTC (accumulate), RS high means rich vs BTC (trim). BTC itself isn't selectable here, since an asset's strength against itself is always 1.