Bitcoin Misery Index (BMI)

What Is Bitcoin Misery Index (BMI)?

The Bitcoin Misery Index (BMI) is a tool used to measure the sentiment of bitcoin traders. It was created by Thomas Lee, co-founder and managing partner at Fundstrat Global Advisors. The index uses data from the past 30 days to calculate an overall score that reflects how happy or miserable bitcoin investors are feeling about their investments. A higher BMI indicates more positive sentiment while a lower BMI suggests negative sentiment among traders.

The index takes into account several factors such as volatility, trading volume, price movements and market capitalization in order to determine its score. For example, if there has been high volatility over the last month with large swings in prices then this would result in a low BMI score indicating that traders are feeling uneasy about their investments. On the other hand, if there has been steady growth with no major fluctuations then this would lead to a higher BMI suggesting that traders feel confident about their holdings. Ultimately, it provides insight into investor sentiment which can be useful for making decisions on when to buy or sell bitcoins.

See also  Lambo

Related Posts

Leave a Reply

Your email address will not be published. Required fields are marked *