On-Chain Metrics & Z-Mode Selection

This indicator provides an on-chain metric analysis framework for cryptocurrencies (currently limited to) BTC and ETH; allowing users to select from popular metrics such as SOPR, Profit Addresses %, NUPL, or MVRV.
It enables various analyses on the chosen metric to capture momentum and rate of change dynamics over time.

Analyses include:

• Normalization techniques utilizing Mean or Median with standard deviation, as well as a 'Robust' method using interquartile range-based Z-scoring to accommodate skewed distributions, or raw values without normalization.
  
• An optional differential calculation that highlights the rate of change (first derivative) of the metric.
  
• Moving average smoothing with up to two passes, supporting EMA, SMA, or WMA types.
  
• Optional sigmoid-based compression that scales and centers the indicator output, improving interpretability, mitigating extreme outliers, and allowing the user to scale the output so that the step size or increment of the long and short thresholds remains within a workable range.
  

Buy and sell signals are generated based on configurable long and short thresholds applied to the processed output.
Visual components such as trend colouring, threshold lines, background shading, and labels make it simple for traders to identify entry signals.

This indicator is suitable for those looking to integrate blockchain behavioral insights into their trading decisions.

Overall, this script transforms complex on-chain data into actionable trade signals by combining adaptive normalization and smoothing techniques. Its versatility and multi-metric support make it a valuable tool for both market monitoring and strategy development.
No financial decisions should be made based solely on this indicator. Always conduct your own research..

Acknowledgements
Inspiration drawn from: CipherDecoded https://www.tradingview.com/script/IMJ6mRJi-SD-Median-NUPL-Z/