Midpoint Price Charts

Generally price charts on Bittrex Global provide a visualization of each completed trade in the applicable market to provide a full picture of the performance and history of that market. Occasionally, however, Bittrex Global will instead show midpoint data (i.e. the midpoint between the highest bid and lowest ask) for charts in markets where less trading data is available. This is primarily used for newly launched markets which have a shorter history and therefore fewer trading data points.

Using midpoint data for newly launched and certain low data markets allows traders to have a more accurate picture of interest and price movement in these markets. For these markets, midpoint data provides better historical context as well as richer data for statistically relevant technical analysis. This analysis allows traders to make more effective use of chart tools as they investigate trading opportunities.

To find the midpoint, we rely on a simple average of best (highest) bid price and the best (lowest) ask price, following the formula (BestBidPrice + BestAskPrice)/2. This formula is applied periodically to order data and mapped onto the chart.

 

For example: 

TSLA Stock 

Best Bid: $487.50 

Best Ask: $490.20 

Mid Price: $488.85 

 

Formula: (487.50 + 490.20)/2 = 488.85 

 

Was this article helpful?
0 out of 0 found this helpful