🔥 $BTC 3W Ulcer Index Signals a Critical Inflection Zone
On the 3 week timeframe, the Ulcer Index is compressing toward the historical “Relative Position” band that has consistently preceded major upside expansions. Previous cycles show a clear rhythm: deep contraction → structural base → strongest impulsive leg
Cycle bottoms in 2011, 2015, 2018, and 2022 formed when downside volatility peaked and seller exhaustion aligned with macro accumulation. Today, volatility stress remains controlled while price structure holds higher macro support, suggesting this is not panic distribution but strategic positioning.
The indicator has not reached extreme capitulation territory, meaning the market may still be building pressure before a decisive expansion. If historical symmetry holds, the next move will not be gradual it will be violent ⚡
Compression creates energy. Energy seeks release.