The Reserve Risk Indicators, integrating key metrics like VOCD, MVOCD, and Signal, offer a visualization of the confidence among long-term Bitcoin holders relative to its current price, thereby guiding investment decisions. The calculation of Reserve Risk involves steps such as Bitcoin Days Destroyed (BDD) and Adjusted Bitcoin Days Destroyed (ABDD), which normalize for Bitcoin's circulating supply.

Other metrics included in the chart are Value of Coin (Days) Destroyed (VOCD), calculated as VOCD = ∑ (Daily Bitcoin price * Adjusted BDD), and MVOCD, which is a median of VOCD to smooth the data. These metrics reflect accumulated confidence among holders over time, aiding in identifying attractive risk/reward opportunities.

Historical analysis reveals that low Reserve Risk periods have historically yielded outsized returns, emphasizing its importance in assessing market sentiment and investor behavior. Notably, when MVOCD exceeds Bitcoin's price, it signals resistance and the formation of local tops. The most recent bearish signal occurred from late March to early April 2024, and since then, Bitcoin has not reached new highs.

However, it's important to note that while this combination of metrics is effective, it is still possible to see new all-time highs, depending on how blockchain data adjusts according to long-term investors' behavior. Currently, the peak at $73,800 is defined as the historical maximum for 2024.