When you use indicators in isolation, each one shows a different layer of the market: strength vs. weakness, overheating vs. exhaustion, deviation from a baseline. Instead of juggling “three opinions,” it’s easier to read them as one framework. On our website we treat SMA 200 Breadth + Median RSI + Market Median as a single workflow: regime → deviation → temperature. All metrics are built on the 30-minute timeframe, so they are directly comparable.
- SMA 200 Breadth shows the regime: is the market broadly strong or weak?
- Median RSI shows the temperature: is momentum overheated or washed out?
- Market Median / Regression Dev shows deviation from baseline: is the market trading above or below the regression-channel midline?
This combination is not a “magic entry system.” It helps you read the market phase first, and only then decide which screener alerts are worth acting on.
What Each Metric Means
SMA 200 Breadth — where the majority sits
This is the share of coins trading above their SMA 200. In practice, it tells you whether the market has a solid base under it.
- high values → strength regime (risk-on)
- low values → weakness regime (risk-off)
- middle zone → transition market with more noise and false moves
Median RSI — how “hot” the market is
Median RSI tracks market-wide momentum (for the majority of coins).
- high → hot market: strong impulse, but chasing gets expensive
- low → cold market: seller pressure, reactions need confirmation
- around the middle → often range/p chop
Market Median (Regression Median) — how far the market is from baseline
This is the market-wide median % deviation from the regression-channel midline.
- positive → the market is, on average, above its midlines (premium)
- negative → the market is, on average, below its midlines (discount)
- near zero → normalization, closer to typical conditions
A 10-Second Market Read
- SMA 200 Breadth — define the regime: strong or weak.
- Market Median — premium or discount versus baseline.
- Median RSI — hot or cold momentum.
- Then move to screener alerts and individual coins.
Practical Rules
6 “If… then…” rules
- If Breadth > 60% and Market Median < 0, prioritize recovery longs, especially when Median RSI climbs out of low readings.
- If Breadth > 60% and Market Median > 0, the market is in premium: longs only selectively; don’t chase pumps—wait for confirmation or normalization.
- If Breadth < 40% and Market Median > 0, it’s a bounce inside a weak regime: shorts tend to be cleaner; longs should be selective and not scaled aggressively.
- If Breadth < 40% and Market Median < 0, the market is weak and pressed down: longs only after a clear reaction; keep cascade-liquidation days in mind.
- If Breadth is 40–60%, it’s a transition market: trade less, take only A-setups.
- If Market Median pushes into extremes, typical levels can stop working: reduce activity until conditions normalize.
One cheat sheet (long/short) using three metrics
Green (you can be more active):
- Long: SMA 200 Breadth above ~60% (strength regime) + Market Median below zero (discount) + Median RSI not overheated and/or recovering from “cold.”
- In this context, OI growth and zone reactions tend to read best; don’t chase pumps—wait for confirmation.
- Short: SMA 200 Breadth below ~40% (weakness regime) + Market Median above zero (premium) + Median RSI high/heating up.
- In this context, dumps, long liquidations, and OI fading often read best; a pump can become a “sellable” move once momentum fades.
Yellow (A-setups only):
SMA 200 Breadth in the ~40–60% range or the metrics conflict. Trade less: take only the strongest screener events with clean structure, and avoid scaling just because an alert fired.
Red (high caution):
- Long: Breadth below ~40% + deep discount in Market Median + low Median RSI. Cascade risk is higher, so act only after a clear reaction and confirmed participation.
- Short: Breadth above ~60% + Market Median in premium + high Median RSI. Shorting a heated risk-on market often means trading against the regime—wait for cooling/normalization.
How to read the “traffic light”:
Green = metrics align and the market is readable. Yellow = transition/noise. Red = stress/extremes or trading against regime: fewer trades, stricter rules.
Conclusion
This is a practical regime framework: Breadth sets direction, while deviation and temperature help you avoid poor timing. In strength regimes, cleaner longs often appear from discount and normalization; in weakness regimes, cleaner shorts often appear from premium and overheating.