Historical rule simulator

Backtest: When Bitcoin Drops 3% in a Day

Simulates one mechanical rule โ€” buy when bitcoin drops 3% in a day, hold a fixed number of days, then exit โ€” using only this site's own historical occurrence data. Only one position is held at a time; signals that fire while already in a trade are skipped and shown below.

Rule results for XRP

20 historical signal(s) detected for XRP; 15 non-overlapping trade(s) taken at a 7-day hold (5 skipped because a position was already open).

Completed trades14
Win rate50.0%
Average return / trade-2.41%
Compounded total return-35.33%
Max drawdown-45.40%
Buy & hold, same period-49.13%

Hypothetical growth of $100

1 accepted trade(s) are still within their 7-day hold and are excluded from the stats and chart above.

Entry dateExit dateEntry priceExit priceTrade returnEquity after
2025-09-26 2025-10-03 $2.7493 $3.0389 +10.53% 110.53
2025-10-11 2025-10-18 $2.3701 $2.2959 -3.13% 107.08
2025-11-04 2025-11-11 $2.3085 $2.5258 +9.41% 117.16
2025-11-15 2025-11-22 $2.2436 $1.9495 -13.11% 101.80
2025-12-02 2025-12-09 $2.0286 $2.0727 +2.17% 104.01
2026-01-21 2026-01-28 $1.8975 $1.9256 +1.48% 105.55
2026-01-30 2026-02-06 $1.8159 $1.2133 -33.18% 70.53
2026-02-23 2026-03-02 $1.3640 $1.3623 -0.13% 70.44
2026-03-07 2026-03-14 $1.3714 $1.3988 +2.00% 71.84
2026-03-19 2026-03-26 $1.4663 $1.4232 -2.93% 69.73
2026-03-27 2026-04-03 $1.3681 $1.3219 -3.38% 67.38
2026-04-13 2026-04-20 $1.3253 $1.3957 +5.31% 70.96
2026-06-02 2026-06-09 $1.2955 $1.1678 -9.86% 63.96
2026-08-29 2026-09-05 $1.3834 $1.3987 +1.10% 64.67

How this backtest works

Every trade uses the same independent-episode detection and forward-return data as the full study page. A trade is entered on the day a signal triggers and exited exactly 7 days later at the historical close; a new signal is ignored while a trade is still open, so the trade count below is always less than or equal to the number of raw signals. Returns compound sequentially starting from a hypothetical $100.

View the full study for XRP ยท Read the full methodology