{"slug":"relative-strength","term":"Relative Strength","category":"Technical Analysis","definition":"Relative strength is a coin's performance divided by a benchmark's — against Bitcoin, against its sector, against the whole market — so that a rising ratio means it is outperforming regardless of dollar direction. It is not the RSI oscillator. A coin that falls 3% while its sector falls 8% has strong relative strength, and that is the tell.","street":"Every alt is green in a rally. The one that stayed green when the rally stalled is the one with a real bid under it.","depth":["Compute it as the ratio of two prices over a window — coin over BTC, or coin over a sector index — and read its trend. Outperformance during weakness is the highest-quality version: buyers absorbing supply while everything else is sold. Our BTC-strength tool ranks coins against Bitcoin, and the sector tool ranks sectors against the market and the coins inside them.","The trap is confusing relative strength with a chart that went up: a coin up 40% while its sector is up 60% is lagging, and the laggards in a strong sector are the ones that give it all back first. Read the ratio, not the dollars. And remember it is a filter, not a timing tool — strength tells you which coin, structure tells you when."],"live":{"label":"Strength vs Bitcoin, live","href":"/tools/btc-strength"},"related":["sector-rotation","beta","eth-btc-ratio","market-structure","rsi"]}