Overview
Reserve Risk compares price incentive to spend versus overall conviction.
It indicates whether holders are being adequately rewarded for the risk of holding.

Interpretation

• 📉 Low Reserve Risk → high confidence, undervalued market.

• 📈 High Reserve Risk → low confidence, potential overvaluation.

Formula (Latex Function format)

$Reserve\ Risk = \frac{Price}{HODL\ Bank}$

Signal
Used to identify cyclical bottoms (low RR) and speculative peaks (high RR).

Insights
One of Bitcoin’s most reliable long-term valuation indicators.

Available Metrics

• Reserve Risk

• Reserve Risk Indicators