This tool is designed to monitor pricing levels when the Short-Term Holder cohort are holding significant unrealized profit or loss. It uses a statistical framework to identify the following periods:
🟩 STHs Taking Profits typically occurs when price is significantly above their cost basis. STH-MVRV has deviated to +1 standard deviation below the long term mean.
🟥 STHs Capitulation typically occurs when price is significantly below their cost basis. STH-MVRV has deviated to -1 standard deviation below the long term mean.