Live Backtest Results
This backtest analyzes the BTC Relative Volatility Index strategy over the 3 day timeframe. The tested logic is consistent across the page: A long entry triggers when the 14-period Relative Volatility Index crosses above the 50 level on the selected timeframe. The position exits when the same indicator crosses below 50, keeping the setup centered on volatility direction.
ROI
685.5%
Win Rate
25.6%
Max DD
61.21%
Sharpe
0.74
Profit Factor
1.40
Total Trades
90
Backtest insights
The Relative Volatility Index strategy generated a total return of 685.5% over the 3 day timeframe. With a maximum drawdown of 61.21% and a win rate of 25.6% across 90 trades, the result shows how this indicator rule reacted to BTC/USDT trend changes during the tested window. The same entry, exit, and timeframe rules are used across every metric on this page.
Performance may vary depending on market conditions. During trending periods, the strategy may behave differently compared to ranging markets, impacting both returns and drawdowns.
How the BTC Relative Volatility Index Strategy Works
What It Is
The Relative Volatility Index measures volatility direction rather than price momentum alone. This test uses the 50 level as a centerline, treating rising volatility pressure above 50 as the long trigger and a cross back below 50 as the exit. The page reports a real CoinQuant backtest on BTC/USDT 3 day data.
How Signals Are Generated
A long entry triggers when the 14-period Relative Volatility Index crosses above the 50 level on the selected timeframe. The position exits when the same indicator crosses below 50, keeping the setup centered on volatility direction. This keeps the strategy auditable and repeatable inside CoinQuant.
When It Works Best
This strategy tends to work best when volatility expansion supports directional continuation after the centerline cross. The 3 day timeframe captures a distinct market rhythm, so the same indicator can behave differently across horizons.
When It Performs Poorly
The strategy struggles when volatility shifts direction without price follow-through. Sideways BTC/USDT periods can create repeated centerline crosses with limited trend development.
Strengths
Focuses on volatility direction rather than price alone
Uses a transparent 50-level crossover
Works across the standard 19 timeframe grid
Limitations
Volatility can expand in either direction
Centerline crosses can whipsaw in range-bound markets
A 14-period setting may not suit every regime
Why Use CoinQuant Instead of Manual Trading or Other Platforms
Choosing the right way to test and execute trading strategies is critical. Below is a comparison between CoinQuant, manual trading, and other platforms to highlight key differences in speed, accuracy, and usability.
CoinQuant is designed specifically for traders who want to validate strategies quickly and reliably without coding. Unlike manual trading or traditional platforms, it allows you to test multiple scenarios, analyze performance instantly, and iterate faster using real data.
Frequently asked questions
How does the Relative Volatility Index strategy perform on BTC/USDT in the 3 day timeframe?
In this backtest the Relative Volatility Index strategy on the 3 day timeframe generated a return of 685.5% with a maximum drawdown of 61.21% and a win rate of 25.6% across 90 trades. These results are based on historical backtest data and actual performance may vary.
What is the Relative Volatility Index indicator?
The Relative Volatility Index measures volatility direction rather than price momentum alone. This test uses the 50 level as a centerline, treating rising volatility pressure above 50 as the long trigger and a cross back below 50 as the exit.
Why is backtesting important for trading strategies?
Backtesting evaluates how a strategy would have performed on historical data before risking real capital. It reveals metrics like ROI, drawdown, and win rate that show whether a strategy has a genuine edge.
How can I test the Relative Volatility Index strategy on CoinQuant?
Paste the exact strategy prompt from this page into CoinQuant, select BTC/USDT and the 3 day timeframe, and CoinQuant generates a full backtest with performance metrics, no coding required.
What are the best settings for the Relative Volatility Index strategy on the 3 day timeframe?
Optimal settings depend on the indicator parameters, timeframe, market regime, and trading objective. The default tested here is the exact rule shown in the strategy prompt. CoinQuant lets you test parameter variations to find the best fit for the 3 day timeframe.
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