Pump Eye
Pump Eye is a tool designed to help traders identify the most active and rapidly changing assets in the market. By combining our in-house volume spike (volSpike) algorithm and Buy/Sell ratings. Pump Eye provides a single metric called the Pump Factor to gauge the momentum of different trading pairs.
The Pump Factor is calculated using the formula:Pump Factor = (Normalized Volume Spike * 50) + (Normalized Conviction Percentage * 50) + (Normalized Volume Delta * 50). This calculation ensures that the Pump Factor is dynamically scaled and capped at a maximum of 100, while quantifying the intensity of the index. The Volume Spike must be over 15, and the Conviction Percentage must be over 45 to qualify.
Volume Spike is normalized with a maximum threshold of 1000% (11x the 24h average volume)
Conviction Percentage is normalized with a maximum threshold of 50%, and minimum 45% (-50 and -45 for dump) (50% implies that the normalized ratings are very dominant in the buy region, 50% more than the sell ratings with little neutral ratings)
Volume Delta is normalized with a maximum threshold of 100 or -100 (100% of the volume is buy (100%) or sell (-100%) volume )
This metric helps traders quickly spot assets that are experiencing significant price movements and increased trading activity, allowing for more informed trading decisions.
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