What Each Score Means
Technical (RSI)
— Weight: 40%
Based on the Weekly Relative Strength Index (14-period).
Measures whether BTC is oversold or overbought on the weekly timeframe.
A low RSI (<35) signals oversold conditions and produces a high score,
indicating a potential buying opportunity. A high RSI (>70) signals
overbought conditions and produces a low score, warning of possible correction.
RSI < 35 = Oversold (Score 90-100)
RSI 35-70 = Neutral (Score 0-90)
RSI > 70 = Overbought (Score 0)
News Sentiment
— Weight: 35%
Aggregates the last 50 headlines from CoinDesk, CoinTelegraph,
and Bitcoin Magazine RSS feeds. Each headline is scored using VADER
sentiment analysis (with a crypto-specific lexicon) on a scale of -1 (bearish) to +1 (bullish).
The average compound score is mapped to 0-100. Extreme positive sentiment (>75) can be a
contrarian sell signal (euphoria), while deeply negative sentiment may indicate capitulation.
0-30 = Bearish Headlines
30-70 = Mixed / Neutral
70-100 = Bullish Headlines
Social Sentiment
— Weight: 25%
Measures the social media tone around Bitcoin using
CryptoPanic vote data (if API key is configured) or VADER analysis of aggregated
news titles as a proxy. When the CryptoPanic API is active, it uses the
bullish/bearish vote ratio from the community. When social score spikes above 80
while RSI is above 65, a Macro Top Warning is triggered,
indicating potential euphoria at a price peak.
0-30 = Fear / Bearish
30-70 = Neutral Sentiment
70-100 = Greed / Bullish
Composite Score
The weighted average of all three signals:
Technical 40% +
News 35% +
Social 25%.
Technical analysis is weighted highest because weekly RSI is a proven macro indicator.
The composite produces a final signal used for email alerts.
0-20 = Strong Sell
20-40 = Sell
40-60 = Neutral
60-80 = Buy
80-100 = Strong Buy