-
Bitcoin $93,090.6111
-1.72% - Ethereum
$1,770.2634
-3.12% - Tether USDt
$1.0004
-0.01% - XRP
$2.2425
2.80% - BNB
$601.7159
-0.39% - Solana
$146.1992
-1.57% - USDC
$1.0000
0.00% - Dogecoin
$0.1761
-2.04% - Cardano
$0.6943
-1.93% - TRON
$0.2440
-3.92% - Sui
$3.4577
0.21% - Chainlink
$14.4216
-3.05% - Avalanche
$21.3447
-5.09% - Stellar
$0.2813
-2.87% - UNUS SED LEO
$9.0794
0.98% - Toncoin
$3.2437
-2.99% - Hedera
$0.1881
-1.68% - Shiba Inu
$0.0...01333
-4.24% - Bitcoin Cash
$344.1649
-3.36% - Litecoin
$84.6607
-2.43% - Polkadot
$4.0531
-3.64% - Hyperliquid
$17.0217
-4.79% - Monero
$303.2314
30.62% - Dai
$1.0001
-0.01% - Bitget Token
$4.3138
-2.95% - Ethena USDe
$0.9995
-0.02% - Pi
$0.6254
-3.36% - Pepe
$0.0...08747
-2.68% - Uniswap
$5.4305
-7.93% - Aptos
$5.3191
-4.60%
What Is Bitcoin Misery Index (BMI)?
The Bitcoin Misery Index (BMI), a metric that combines Bitcoin's price and volatility, gauges investor sentiment and provides insights into potential buying opportunities or cautious periods within the cryptocurrency market.
Oct 17, 2024 at 04:54 pm
1. What is Bitcoin Misery Index (BMI)?
The Bitcoin Misery Index (BMI) is a metric that gauges the overall sentiment and interest in Bitcoin by combining two key indicators: the Bitcoin price and its volatility. It was developed by Murad Mahmudov and introduced in 2019.
2. Formula for BMI
The BMI is calculated using the following formula:
BMI = Price Volatility + Price % Drop
Price Volatility: Standard deviation of daily Bitcoin price returns over a 60-day period
Price % Drop: Percentage decline in Bitcoin price from its all-time high (ATH)
3. Interpretation of BMI
The BMI can be interpreted as follows:
- Low BMI (below 70): Indicates that Bitcoin is relatively stable and there is low misery among investors.
- High BMI (above 70): Indicates that Bitcoin is experiencing high volatility and/or has significantly dropped from its ATH, leading to increased misery among investors.
4. Purpose of BMI
The BMI serves as a tool for investors to assess the overall sentiment and risk associated with investing in Bitcoin.
- Low BMI: May suggest potential buying opportunities, as the market is less fearful and volatile.
- High BMI: May indicate caution, as the market is potentially overvalued or experiencing stress.
5. Criticisms of BMI
- Subjective nature: The selection of a 60-day window for price volatility and the all-time high for price drop are subjective choices.
- Lagging indicator: The BMI is backward-looking, making it less useful for predicting future price movements.
- Not a comprehensive market measure: The BMI considers only two indicators and does not incorporate other factors that may influence Bitcoin's value.
Disclaimer:info@kdj.com
The information provided is not trading advice. kdj.com does not assume any responsibility for any investments made based on the information provided in this article. Cryptocurrencies are highly volatile and it is highly recommended that you invest with caution after thorough research！
If you believe that the content used on this website infringes your copyright, please contact us immediately (info@kdj.com) and we will delete it promptly.
- Maddie Griffin doesn't try to hide the fact that she is a numbers person
- 2025-04-28 09:20:14
- FINAL100 Expiring: $0.0002 Entry Into 2900% Moonplay—BTFD is the Next Crypto to Explode Amid Snek and Simon's Cat Hype!
- 2025-04-28 09:20:14
- Dogecoin (DOGE) Price Enters a New Bullish Phase After Flashing Trend Reversal
- 2025-04-28 09:15:12
- With the Rapid Development of Blockchain Technology, Digital Currency Mining Has Become a Popular Investment Method
- 2025-04-28 09:15:12
- BetMGM Bonus Code CUSE150: Unlock $150 Bonus or $1500 First Bet Offer
- 2025-04-28 09:10:12
- The Interplay of Crypto and Politics: New Frontiers of Influence
- 2025-04-28 09:10:12
Related knowledge
What are PoW and PoS? How do they affect blockchain performance?
Apr 28,2025 at 09:21am
Introduction to PoW and PoSIn the world of cryptocurrencies, the terms Proof of Work (PoW) and Proof of Stake (PoS) are frequently mentioned due to their critical roles in securing and maintaining blockchain networks. Both mechanisms are used to validate transactions and add them to the blockchain, but they operate on different principles and have disti...
What is the Lightning Network? How does it solve Bitcoin's scalability problem?
Apr 27,2025 at 03:00pm
The Lightning Network is a second-layer solution built on top of the Bitcoin blockchain to enhance its scalability and transaction speed. It operates as an off-chain network of payment channels that allow users to conduct multiple transactions without the need to commit each transaction to the Bitcoin blockchain. This significantly reduces the load on t...
What is zero-knowledge proof? How is it used in blockchain?
Apr 27,2025 at 01:14pm
Zero-knowledge proof (ZKP) is a cryptographic method that allows one party to prove to another that a given statement is true, without conveying any additional information apart from the fact that the statement is indeed true. This concept, which emerged from the field of theoretical computer science in the 1980s, has found significant applications in t...
Which of the top ten virtual currency trading platforms is the latest ranking of cryptocurrency trading platforms apps
Apr 26,2025 at 11:57pm
Which of the top ten virtual currency trading platforms is the latest ranking of cryptocurrency trading platforms apps When choosing a digital currency trading platform, it is crucial to consider factors such as user experience, security, transaction volume and currency support. The following is the ranking of the top ten digital currency trading platfo...
Top 10 digital currency exchange platforms recommend digital currency exchanges
Apr 26,2025 at 01:00pm
In the cryptocurrency space, choosing a reliable trading platform is crucial. This article will introduce the latest rankings of the top ten exchanges in the currency circle in detail, and will explore the characteristics and advantages of each platform in depth. These rankings are selected based on many factors such as user experience, security, and tr...
Top 10 Virtual Currency Free Market Viewing Software Rankings of Top 10 Virtual Currency Exchanges in 2025
Apr 25,2025 at 09:21pm
In the cryptocurrency market, it is crucial to choose a reliable and powerful exchange app. This article will provide you with a detailed analysis of the top ten virtual currency exchange rankings in 2025 to help you better understand the top platforms in the market. Binance Binance is one of the world's leading cryptocurrency exchanges, known for i...
What are PoW and PoS? How do they affect blockchain performance?
Apr 28,2025 at 09:21am
Introduction to PoW and PoSIn the world of cryptocurrencies, the terms Proof of Work (PoW) and Proof of Stake (PoS) are frequently mentioned due to their critical roles in securing and maintaining blockchain networks. Both mechanisms are used to validate transactions and add them to the blockchain, but they operate on different principles and have disti...
What is the Lightning Network? How does it solve Bitcoin's scalability problem?
Apr 27,2025 at 03:00pm
The Lightning Network is a second-layer solution built on top of the Bitcoin blockchain to enhance its scalability and transaction speed. It operates as an off-chain network of payment channels that allow users to conduct multiple transactions without the need to commit each transaction to the Bitcoin blockchain. This significantly reduces the load on t...
What is zero-knowledge proof? How is it used in blockchain?
Apr 27,2025 at 01:14pm
Zero-knowledge proof (ZKP) is a cryptographic method that allows one party to prove to another that a given statement is true, without conveying any additional information apart from the fact that the statement is indeed true. This concept, which emerged from the field of theoretical computer science in the 1980s, has found significant applications in t...
Which of the top ten virtual currency trading platforms is the latest ranking of cryptocurrency trading platforms apps
Apr 26,2025 at 11:57pm
Which of the top ten virtual currency trading platforms is the latest ranking of cryptocurrency trading platforms apps When choosing a digital currency trading platform, it is crucial to consider factors such as user experience, security, transaction volume and currency support. The following is the ranking of the top ten digital currency trading platfo...
Top 10 digital currency exchange platforms recommend digital currency exchanges
Apr 26,2025 at 01:00pm
In the cryptocurrency space, choosing a reliable trading platform is crucial. This article will introduce the latest rankings of the top ten exchanges in the currency circle in detail, and will explore the characteristics and advantages of each platform in depth. These rankings are selected based on many factors such as user experience, security, and tr...
Top 10 Virtual Currency Free Market Viewing Software Rankings of Top 10 Virtual Currency Exchanges in 2025
Apr 25,2025 at 09:21pm
In the cryptocurrency market, it is crucial to choose a reliable and powerful exchange app. This article will provide you with a detailed analysis of the top ten virtual currency exchange rankings in 2025 to help you better understand the top platforms in the market. Binance Binance is one of the world's leading cryptocurrency exchanges, known for i...
See all articles
