Alpha Factory
Step inside the Factory
Alpha Factory
Public Altcoin Rules Guide

Altcoin Rules: 8-Point Altcoin Scoring System

Altcoin Rules is Menno's weighted 8-point scoring system for analyzing altcoins before you buy. It blends cycle context, momentum, sentiment, market structure, and supply pressure into one cleaner read so you can stop guessing whether a setup looks attractive, neutral, or overheated.

Unlock PremiumSee public proofRun free audit

Use the proof page if you want receipts first. Use the free audit if you want the same strategy lens applied to your own holdings.

thealphafactory.io/altcoin-rules
Premium view
Altcoin Rules screenshot
6 core indicators2 live modifiersHistorical tops and bottoms

Live tracked-coin snapshot

A public slice of the same Altcoin Rules engine members use.

This public board shows a compact live read on a few tracked coins. Members get the full per-indicator breakdown, history, and deeper context for any supported asset.

Loading snapshot...Server-cached scores
Public view: core score + zone only.Premium view: full indicator stack, history, and any supported coin.

One core score

See low, neutral, or high risk at a glance instead of guessing from one chart.

Why the score moved

Open each indicator to see whether the shift came from cycle risk, momentum, sentiment, or supply pressure.

Historical context

Compare today's core score with prior bottoms and tops instead of reacting to one noisy candle.

What goes into the score

One framework, six core signals plus two live modifiers.

The real tool combines cycle context, momentum, sentiment, market structure, and supply pressure. That is why it is more useful than staring at one indicator in isolation.

Risk Wave

Cycle position versus the long-term average.

2-Week RSI

Momentum without the daily noise.

4Y High Distance

How far the market is from major cycle highs.

Dominance

Whether market share looks stretched or cheap.

Fear & Greed

Sentiment context when the market gets euphoric or fearful.

ALT/BTC Ratio

How overheated altcoins look relative to Bitcoin.

Funding Rate

Modifier

Leverage pressure when traders get too one-sided.

Token Unlocks

Modifier

Supply-risk pressure that can hit altcoins fast.

How Menno uses it

The score is not a magic signal. It is a risk map.

Lower scores mean the inputs sit below their heated ranges. Higher scores mean several are stretched at once. The score describes the market; it is not a buy or sell instruction.

0-30

Low-risk zone

Most inputs sit below their heated ranges.

30-70

Neutral zone

The normal range, with inputs pointing in different directions.

70-100

High-risk zone

Several inputs are stretched at once.

Next step

Choose your path based on what you need right now.

Want proof first? Open the public receipts. Want to test the thinking on your own coins? Run the free audit. Already convinced? Unlock Premium and open the real Altcoin Rules tool.

See public proofRun free Alpha ScanUnlock Premium

Not financial advice. The tool is a decision framework, not a guarantee.

Also try our DCA Simulator — backtest dollar-cost averaging strategies on any coin.

Tool cluster

Keep exploring Altcoin Rules

Altcoin Rules overviewExplain the full altcoin scoring workflow.Altcoin Rules in extreme fearShow how the framework behaves in fearful markets.Token Metrics comparisonCompare AI rating products with Alpha Factory's explainable framework.Altcoin Rules YouTube landingContinue an altcoin-scoring video into the framework.
Menno van Ravels - Alpha Factory

By - 13 years in crypto, 3 bear markets survived, zero paid promotions

Last reviewed: March 2026

Altcoin Rules is a composite risk framework that turns 8 weighted market inputs into one public score from 0 to 100. Scores below 30 are the low-risk zone; 30–70 the neutral zone; above 70 the high-risk zone. The point is to make market heat easier to see before emotion takes over. It describes the market; it is not a buy or sell instruction.

Methodology

The public snapshot blends cycle context, momentum, distance from prior highs, sentiment, leverage pressure, market structure, and token-supply risk into a single view. It should be treated as a risk map for sizing and patience, not as a stand-alone entry signal or a guarantee that a coin is safe.

Primary Sources

CoinGecko API docs: historical price data

Used for price-history and market-structure context when comparing current conditions against prior ranges.

CoinGlass docs: market and funding data

Supports leverage and funding-rate context when the market gets crowded on one side.

Alternative.me Crypto Fear and Greed Index

Public sentiment signal used as one input rather than a stand-alone buy or sell command.

Tokenomist unlock calendar

Supply-side context matters for altcoins because large unlocks can change risk even when price still looks strong.

Use This With

Crypto Risk Management

Use the score as a risk map inside a larger portfolio framework, not as a magic signal.

DCA Simulator

Compare what steady buying would have looked like before deciding how aggressive to be.

Bitcoin Coin Page

Cross-check the market backdrop against a single-asset research page and DCA lens.

Altcoin Rules Checklist

Prefer the lighter version? Start with the five checklist rules before you open the full score.

This is the stripped-down checklist version of Altcoin Rules: five high-signal indicators, risk zones, and a quick reference card you can keep nearby when the market gets noisy.

1

Risk Wave Score

30%

A proprietary composite of on-chain and macro signals. Above 70 = high-risk zone. Below 30 = low-risk zone. This single number replaces 10 separate tabs.

Low risk: < 30 · Neutral: 30-70 · High risk: > 70

2

RSI (Relative Strength Index)

20%

Classic momentum indicator, but I use the weekly RSI, not daily. Daily RSI whipsaws too much for serious portfolio decisions. Weekly tells you where the real trend is.

Oversold: < 30 · Neutral: 30-70 · Overbought: > 70

3 more indicators waiting

Unlock the full checklist

Enter your email to see indicators 3-5: Token Unlock Pressure, Fear & Greed contrarian strategy, and the Composite Altcoin Score. Plus the quick reference card.

Free. No spam. You will also receive our weekly market briefing.

Used by 50+ Alpha Factory members for every altcoin decision.

Want the full 8-indicator system?

Alpha Factory members get the complete Altcoin Rules system with all 8 indicators, live scoring, AI analysis, and portfolio tracking.

Unlock Premium

14-day money-back guarantee. Cancel anytime.

Related Guides

Crypto Risk Management GuideCrypto DCA Strategy GuideWhen To Sell CryptoFree Crypto Health Check

Menno breaks down his 4-step altcoin buying process and the step most people skip that ends up costing them the most.

My 4-Step Altcoin Buy Plan (Everyone Skips Step 4) · FOMO Factory on YouTube

What is the Altcoin Rules Framework?

Altcoin Rules is Alpha Factory's proprietary risk framework that combines 8 weighted market indicators — including Risk Wave, RSI, dominance, funding rates, and token unlocks — into a single composite score from 0 to 100. Scores below 30 are the low-risk zone, 30-70 the neutral zone, and above 70 the high-risk zone.

Why a Scoring Framework Matters

According to CoinGecko data, over 14,000 cryptocurrencies have been listed since 2013, with the majority losing 90%+ of their value within two years (source: CoinGecko Annual Crypto Industry Report 2024). Altcoin Rules was built to filter signal from noise using 8 weighted indicators that combine market structure, momentum, sentiment, and supply-side risk into a single 0-100 composite score. The framework evaluates cycle position via Risk Wave, momentum via 2-Week RSI, distance from prior highs, market-share dominance, Fear & Greed sentiment, ALT/BTC overheating, funding-rate leverage pressure, and token unlock supply risk. Each indicator is weighted by its historical predictive value across three bear-market cycles (2018, 2022, 2025), giving recent data more influence while preserving structural lessons from earlier crashes.

Created by Menno at Alpha Factory, the system replaces watching one indicator in isolation. Instead, it combines 8 market signals into a single composite score that tells you whether an altcoin currently looks cheap, neutral, or dangerously overheated. It describes where the coin sits; it is not a buy or sell instruction.

How does the Altcoin Rules scoring system work?

The Altcoin Rules scoring system works by combining eight weighted market indicators into a single composite score from 0 to 100. Each indicator captures a different dimension of market risk: Risk Wave measures cycle position, 2-Week RSI tracks momentum without daily noise, 4-Year High Distance gauges proximity to prior cycle peaks, Dominance shows whether market share is stretched, Fear & Greed provides sentiment context, ALT/BTC Ratio detects altcoin overheating relative to Bitcoin, Funding Rate reveals leverage pressure, and Token Unlocks flags imminent supply-side dilution risk. Each indicator is individually scored and then weighted based on its historical predictive value across three bear-market cycles (2018, 2022, 2025). The resulting composite score maps to three risk zones: 0-30 (low risk — price and sentiment sit well below their heated ranges), 30-70 (neutral — the normal range), and 70-100 (high risk — several inputs are stretched at once).

The 8 Weighted Indicators

  1. Risk Wave — Cycle position versus the long-term average.
  2. 2-Week RSI — Momentum without the daily noise.
  3. 4-Year High Distance — How far the market is from major cycle highs.
  4. Dominance — Whether market share looks stretched or cheap.
  5. Fear & Greed — Sentiment context when the market gets euphoric or fearful.
  6. ALT/BTC Ratio — How overheated altcoins look relative to Bitcoin.
  7. Funding Rate — Leverage pressure when traders get too one-sided.
  8. Token Unlocks — Supply-risk pressure that can hit altcoins fast.

The Three Risk Zones

Frequently Asked Questions

What is the Altcoin Rules framework?

A weighted risk framework that combines 8 market indicators into one composite score from 0-100, covering cycle context, momentum, sentiment, market structure, and supply pressure. Created by Menno at Alpha Factory.

What are the 8 indicators?

Risk Wave, 2-Week RSI, 4-Year High Distance, Dominance, Fear and Greed, ALT/BTC Ratio, Funding Rate, and Token Unlocks. Each indicator is weighted and combined into the composite score.

Is it free?

A public snapshot showing live scores for Ethereum, Solana, Chainlink, and Sui is free on this page. The full tool with per-indicator breakdowns and any supported coin requires an Alpha Factory premium membership.

How should I use the score?

The score is a risk map, not a signal. Low scores mean the inputs sit below their heated ranges, high scores mean several are stretched at once. It describes the market; what you do with that is your own decision.

Explore More

Crypto GlossaryEvery term explained simplyCoin PlaybooksDCA, risk, and profit-taking plans per coinCoin AnalysisDCA strategies for tracked assetsBest Crypto Signals 2026Framework to evaluate signal quality and avoid hype