TOTAL3/BTC

This Pine Script™ code, named "TOTAL3/BTC with Arrow," is designed for cryptocurrency analysis on TradingView.

This script essentially provides a visual tool for traders to gauge when altcoins might be gaining or losing ground relative to Bitcoin through moving average analysis and color-coded trend indication.

Intention was to help the community with a script based on classic TA only.

Use it with SASDv2r indicator.

Feel free to make it better. If you did so, please let me know.

Main elements:

Data Fetching: It retrieves market cap data for all cryptocurrencies excluding Bitcoin and Ethereum (TOTAL3) and for Bitcoin (BTC).

Ratio Calculation: The script calculates the ratio of TOTAL3 to BTC market caps, which indicates how altcoins (excluding ETH) are performing relative to Bitcoin.

Plotting the Ratio: This ratio is plotted on the chart with a blue line, allowing traders to see the relative performance visually.

Moving Averages: Two Simple Moving Averages (SMA) are calculated for this ratio, one for 20 periods (ma20) and another for 50 periods (ma50), though these are not plotted in the current version of the code.

Reference Lines: Horizontal lines are added at ratios of 0.3 and 0.8 to serve as visual equilibrium points or thresholds for analysis.

Complex Moving Average: The script uses constants (len, len2, cc, smoothe) from another script, suggesting it's adapting or simplifying another's logic for multi-timeframe analysis.

Average Calculation: Two SMAs (avg and avg2) are computed using the constants defined, focusing on different lengths for trend analysis.

Direction Determination: It checks if the moving average is trending up or down by comparing the current value with its value smoothe bars earlier.

Color Coding: The color of the plotted moving average changes based on its direction (lime for up, red for down, aqua if no clear direction), aiding in quick visual interpretation of trends.

Plotting: Finally, the script plots this multi-timeframe moving average with a dynamic color to reflect the current market trend of the TOTAL3/BTC ratio, with a thicker line for visibility.