Tideline Strategy

A strategy that buys the pullback.

A systematic, rule-based mean-reversion strategy for crypto markets. No discretion, no forecasts, active around the clock.

Overview

It earns from volatility, not from direction.

Most trading systems bet that a trend will continue. Tideline bets on the opposite: that excessive declines get bought back. When an asset falls meaningfully below its recent high, the strategy builds a position in stages — the deeper the decline, the larger the target position. As the price recovers, those stages are released one by one, each with its own profit target.

The consequence is that capital sits outside the market most of the time. It is deployed only when prices fall, and most heavily when others are forced to sell.

Backtest

Five years and eight months, one full market cycle

August 2020 through March 2026 on native five-minute price data. The selected live-test run uses sizing factor 1.00 and a 0.8× hard gross setting with a 0.10 band. All figures include 4.5 basis points of trading fees per side, seven basis points of modelled slippage, and 10 % annual funding on open exposure.

+55.6 %compound return per year
1.573weekly Sharpe, annualised
−31.8 %daily maximum drawdown
0.88×maximum gross exposure

The raw five-minute series reached a 39.3 % maximum drawdown. The 55.6 % CAGR is a historical backtest result, not a forecast or target return.

Growth of capital, logarithmic

Tideline Buy & hold Bitcoin

By market phase

Phase Tideline per year Sharpe drawdown Buy & hold BTC
Full cycle+1,125.7 %+55.6 %1.573−31.8 %+500.2 %
Bull market 2020–21+195.1 %+114.5 %1.904−31.8 %+306.2 %
Bear market 2022−11.6 %−11.6 %−0.395−25.4 %−64.2 %
Recovery 2023–26+369.6 %+61.0 %2.128−22.6 %+312.8 %

The 2022 bear market is the most informative segment: Bitcoin lost 64.2 % while Tideline lost 11.6 %. The strategy preserved substantially more capital than Bitcoin, but higher sizing did not make the bear year positive.

By calendar year

YearTidelineBuy & hold BTC
2020 (from Aug)+13.1 %+154.2 %
2021+160.9 %+59.8 %
2022−11.6 %−64.2 %
2023+84.5 %+155.6 %
2024+57.3 %+121.3 %
2025+83.7 %−6.3 %
2026 (Jan–Mar)−11.9 %−22.1 %

Results vary materially by year. The strategy can lose money, and in strong directional rallies it may trail Bitcoin because it waits for pullbacks before deploying capital.

Universe

Nine live markets. Seven backtested.

The live basket contains BTC, ETH, SOL, SUI, HYPE, ZEC, XRP, MON and LIT. The strategy holds long positions only and never goes short. The displayed performance covers the seven markets for which history was measured.

Live marketIncluded in published backtestHistory used
BTCYes — BTCAug 2020
ETHYes — ETHAug 2020
SOLYes — SOLAug 2020
ZECYes — ZECAug 2020
SUIYes — SUIMay 2023
HYPEYes — HYPEMay 2025
XRPYes — XRPAug 2020
MONNoNot backtested
LITNoNot backtested

Assets enter the calculation only when their price history begins, so the early test runs on four to five markets. MON and LIT are not represented in the headline backtest figures.

Status
Live