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₿ Order Book Imbalance Strategy Backtest — Bitcoin

90-day quantitative backtest of the Order Book Imbalance signal for Bitcoin (BTC). Performance metrics, trade statistics, and risk analysis. Last updated: June 17, 2026.

⚠ Simulated Backtest — These results are generated from a deterministic simulation model using historical signal characteristics, not from replaying actual trades. Real-world performance will differ due to slippage, fees, and market impact. Past performance does not guarantee future results.

Why Order Book Imbalance on Bitcoin?

Bitcoin is the most liquid crypto asset with deep orderbooks and institutional participation, making it responsive to macro signals and cross-venue arbitrage. The Order Book Imbalance indicator exploits this by trade the bid/ask pressure differential in the order book. Over the 90-day test window, this combination produced a Sharpe ratio of 2.78 with 278 trades — averaging one trade every 7 hours.

The win rate of 59% combined with a 2.58× profit factor means winning trades are significantly larger than losing ones. The maximum drawdown of -28% represents the worst peak-to-trough decline, which occurred during a period of elevated volatility. This drawdown level requires careful position sizing to manage portfolio risk.

Performance Summary

2.78
Sharpe Ratio
-28%
Max Drawdown
59%
Win Rate
278
Total Trades
2.58
Profit Factor
0.48%
Avg Trade

Current Signal State </> API
# Current Order Book Imbalance signal for BTC
$ curl command:
curl https://algotick.dev/v1/signals/imbalance?coin=BTC
Endpoint: /v1/signals/imbalance?coin=BTC
Explore the API →

Current Value
0.5576
Signal
bid_heavy
Indicator
Order Book Imbalance

Trade Statistics

MetricValue
Best Trade+9.8%
Worst Trade-7.3%
Average Trade+0.48%
Win Rate59%
Profit Factor2.58
Total Trades (90d)278
Average Holding Period7h
Max Consecutive Wins9
Max Consecutive Losses5

Methodology

Order Book Imbalance: Order book imbalance measures the ratio of bid-side to ask-side depth. When imbalance is strongly positive (bid-heavy), prices tend to rise; when negative (ask-heavy), prices tend to fall. This indicator generates signals from real-time L2 order book data.

Backtest Parameters:

  • Period: 90 days of 1-minute data from Hyperliquid
  • Signal: imbalance from the Algo Tick API
  • Position sizing: Fixed 1x leverage, no compounding
  • Execution: Market orders at next bar open, 0.05% slippage + 0.02% fees
  • Risk: Stop-loss at 2x ATR, take-profit at 3x ATR

Reproduce This Backtest

Don't run this backtest locally — just query our analytics endpoint:

# Fetch historical signal data for backtesting
import requests

BASE = "https://algotick.dev"

# Get current Order Book Imbalance signal
resp = requests.get(
    f"{BASE}/v1/signals/imbalance",
    params={"coin": "BTC"}
)
signal = resp.json()
print(signal)

# Query historical data for backtesting
hist = requests.get(
    f"{BASE}/v3/analytics/query",
    params={
        "metric": "imbalance",
        "coin": "BTC",
        "hours": 2160  # 90 days
    }
)
data = hist.json()

Our server-side Order Book Imbalance signal generated a 2.8 Sharpe on BTC over the last 90 days

Don't build the infrastructure. Just query the API and focus on your alpha.

Explore API →

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