Understanding the #Bitcoin Regime Score can help differentiate between a trending market and a sideways "coiling" phase. This metric measures the strength and direction of market structure to determine if Bitcoin is in a state of expansion or consolidation.
Currently, the Regime Score is hovering near a 16% equilibrium zone. This suggests market compression—a period where the bull/bear structure is tightening. Historically, this zone marks a transition point rather than a confirmed trend.
To identify the next shift, analysts monitor two key signals:
• Below the baseline: If the score remains negative, it typically indicates distribution and downside volatility.
• Above the baseline: A sustained break higher often signals the return of momentum and trend expansion.
In technical terms, the longer the market stays in this compressed "coil," the stronger the eventual impulse tends to be. Monitoring the regime flip allows for a more patient approach, focusing on structural changes rather than short-term price fluctuations.
