BITCOIN VOLATILITY INDICATORS

What are price swing indicators?

Volatility describes movement size rather than direction. ATR follows true ranges; Bollinger Bands follow the spread of closes. Their answers can differ after a candle with a long wick or a gap.

How should I use them together?

Higher readings can occur during rises and falls alike. ATR and other activity-only measures provide context and contribute no direction vote. For daily annualized realized volatility, use the established Price Swings page.

Why does one chart sit in two groups?

5 of these 6 charts also sit in another group, because one formula can answer more than one question.

Choosing between Bitcoin price swing indicators

Volatility describes the size and spread of price movement. It is compatible with rising, falling or sideways prices. A wider range changes the context in which a directional reading is interpreted, but does not independently tell you which way the next candle will move.

Whole candle ranges versus dispersion of closes

Average True Range includes the distance between high and low and the gaps from the previous close. Bollinger Bands use the standard deviation of closes around a simple average. Long intraday wicks can lift ATR even when closes remain tightly grouped and the bands stay relatively narrow. Average True RangeBollinger Bands

Two ways to create an envelope

Bollinger Bands expand with the spread of closing prices. Keltner Channels expand with ATR around an exponential average. A sudden shift in closes and a series of wide candles can affect them differently. Comparing the channels helps identify whether the width comes mainly from changing close levels or from larger candle ranges. Bollinger BandsKeltner Channels

Movement size versus how much path was retraced

ATR describes average range in price units. Choppiness compares accumulated true range with the window’s total high-low span. Price can travel back and forth through a broad range, producing high movement and a high Choppiness reading together. Neither value is a price-direction vote. Average True RangeChoppiness Index

Before comparing the readings

Dollar ranges grow mechanically with the Bitcoin price level. ATR percentage and Bollinger bandwidth help express movement relative to a price reference. For annualized historical volatility of returns, use the existing Price Swings page linked below; its formula is different from a candle-range calculation.

Where do the numbers come from?

Maketo reads one combined Bitcoin spot market and calculates every formula itself, on completed candles. The candle boundaries, the defaults and the rules behind each dial are written out in the methodology.