Methodology

How we analyze, predict, and verify Bitcoin market data.

Data Sources

Price Data

We use real-time market data from CoinGecko and Binance. All price data is verified against multiple sources to ensure accuracy.

  • • Primary: CoinGecko API
  • • Secondary: Binance API
  • • Update frequency: Every 30 minutes

Historical Data

Historical price data is stored in our database for verification purposes. We maintain a complete record of all predictions and actual market outcomes for transparency and accuracy tracking.

Indicator Methodology

RSI (14) — Weight: 15%

Relative Strength Index measures momentum on a scale of 0-100. We use refined thresholds to identify extreme conditions and trend strength.

Strong Bullish: RSI < 25 (deep oversold)
Bullish: RSI < 35 (oversold)
Bearish: RSI > 65 (overbought)
Strong Bearish: RSI > 75 (deep overbought)

Stochastic RSI — Weight: 10%

Combines RSI and stochastic oscillator for more sensitive overbought/oversold detection, catching momentum shifts earlier than standard RSI.

Bullish: StochRSI < 20 (extreme oversold)
Bearish: StochRSI > 80 (extreme overbought)
Neutral: Between 20-80

MACD — Weight: 15%

Moving Average Convergence Divergence tracks trend changes using 12-day and 26-day exponential moving averages to identify momentum shifts.

Bullish: MACD line above signal line (golden cross)
Bearish: MACD line below signal line (death cross)
Signal Strength: Based on distance from zero line

Moving Averages — Weight: 15%

Combines 20-day and 50-day SMA analysis to determine trend direction and strength. Golden/Death cross detection with price position analysis.

Bullish: SMA20 > SMA50 with price above both
Bearish: SMA20 < SMA50 with price below both
Alignment score based on trend consistency

Bollinger Bands — Weight: 10%

Uses 20-day SMA with 2 standard deviation bands to identify volatility compression, price extremes, and potential reversal zones.

Bullish: Price near lower band (< 10% position)
Bearish: Price near upper band (> 90% position)
%B Position: Measures price location within bands

VWAP — Weight: 10%

Volume Weighted Average Price approximated using price movement intensity. Identifies whether price is trading above or below average value.

Bullish: Price > VWAP (buying pressure)
Bearish: Price < VWAP (selling pressure)
Institutional reference level

Price Momentum — Weight: 10%

Measures 10-day price rate of change to identify trend momentum and acceleration. Helps confirm trend strength and potential exhaustion.

Strong Bullish: Momentum > +3%
Bullish: Momentum > +1%
Bearish: Momentum < -1%
Strong Bearish: Momentum < -3%

Trend Strength (ADX) — Adjustment Factor

Average Directional Index measures trend strength independent of direction. Used to adjust confidence scores in strong trending markets.

Strong Trend: ADX > 50 (increase directional confidence)
Moderate Trend: ADX 25-50
Weak/No Trend: ADX < 25 (reduce confidence)

Verification Rules

How We Verify Predictions

Range Prediction:

A prediction is considered "correct" if the actual closing price falls within the predicted range during the 24-hour period.

Direction Prediction:

We also track whether the market direction (up/down) matched our bias, even if the exact range was missed.

Verification Time:

Predictions are verified daily at 08:00 UTC, comparing the previous day's prediction against the actual 24-hour price range.

Accuracy Calculation:

Rolling accuracy is calculated over 7-day, 30-day, and 90-day periods. All-time accuracy tracks every prediction since platform launch.

Prediction Range Calculation

How We Calculate Price Ranges

1. ATR-Based Calculation:

We use Average True Range (ATR) to measure market volatility. The prediction range is calculated as: Range = Current Price ± (ATR × Multiplier)

2. Trend Strength Adjustment:

The range multiplier varies based on trend strength:

  • • Strong trend (consistency > 70%): Tighter range (~1.2% - 2%)
  • • Moderate trend (40-70%): Normal range (~1.5% - 2.5%)
  • • Ranging market (< 40%): Wider range (~1.8% - 3%)
3. Maximum Range Limit:

To ensure practical predictions, we enforce a maximum range of 6% total (±3% from current price), regardless of volatility conditions.

4. Historical Volatility:

We factor in 30-day historical volatility to adjust ranges during extreme market conditions, while maintaining our maximum limits.

Update Frequency

Market Structure
Every Hour

Automated analysis via GitHub Actions

Daily Prediction
Hourly Updates

24-hour forecast updated every hour with fresh market data

Verification
Daily at 00:00 UTC

Previous day's prediction verified and recorded

What We Do NOT Do

We do not provide buy/sell recommendations.

We analyze market structure, not trading decisions.

We do not promise profits or returns.

Past accuracy does not guarantee future results.

We do not delete incorrect predictions.

Every forecast remains publicly visible.

We do not provide personalized advice.

Our analysis is general market information only.

Disclaimer

Educational Purpose Only: The information provided on TrendXBit is for educational and informational purposes only. It should not be considered as financial advice, investment recommendations, or solicitation to buy or sell any cryptocurrency.

Risk Warning: Cryptocurrency markets are highly volatile and unpredictable. Past performance and prediction accuracy do not guarantee future results. You should always conduct your own research and consider consulting with a qualified financial advisor before making any investment decisions.

No Liability: By using this website, you acknowledge that you understand these risks and agree that TrendXBit and its operators are not responsible for any financial losses incurred based on the information provided.

Not Financial Advice: Nothing on this website constitutes professional financial advice. We are not licensed financial advisors. All content is opinion-based analysis of publicly available market data.