Time Elapsed For Peg To Be Restored

Overview

This indicator measures the amount of time it takes for an asset that has deviated by at least 0.5% from its intended price (or peg) to return to its pegged value. It also shows the USD amount and percentage of the recovery.

How can I use it?

The indicator records each time a deviation occurs, the calculation starts when an asset's price deviates by 0.5% or more from its intended peg. The time taken for the price to return to its pegged value is tracked, along with the USD amount and percentage of the recovery. The percentage of recovery can be calculated as the ratio of the price difference after the recovery to the price difference at the maximum deviation point.

This indicator is valuable for understanding the stability of an asset and the efficiency of mechanisms in place to maintain its peg. Rapid re-pegging and full recovery indicate strong stability and effective market mechanisms. Conversely, slow re-pegging and partial recovery may signal potential issues with the asset's stability or the market's confidence in it.