ETH: Profit/Loss Momentum Meter

The "ETH: Profit/Loss Momentum Meter" is a Pine Script™ indicator designed to gauge the sentiment and momentum in the Ethereum market by analyzing the proportion of profitable versus loss-making addresses. The indicator highlights key zones on a scale from 0 to 100, each representing different levels of market sentiment and potential trader behavior.

Key Features:
Profit/Loss Calculation:

Lose Percentage: The percentage of Ethereum addresses that are currently at a loss.
Win Percentage: The percentage of Ethereum addresses that are currently in profit.
The core metric is the difference between the win percentage and the lose percentage.

Momentum Calculation:

The momentum is derived from the difference between the win and lose percentages and smoothed using a simple moving average (SMA).
Visual Representation:

Momentum Meter: The primary plot that shows the momentum value on a scale.
Threshold Lines:
Valhalla (100): The peak optimism zone.
FOMO Zone (80): Indicates strong buying interest due to fear of missing out.
Optimism Oasis (60): Moderate optimism among traders.
Bullish Bias (40): Slightly positive sentiment.
Confidence Valley (20): Moderate confidence in holding positions.
Strong Hodlers (0): Indicates strong holders with long-term conviction.
Color Indicators:

Bar Color: Changes color based on momentum:
Red tint for high momentum (>80), indicating potential overbought conditions.
Green tint for low momentum (<20), indicating potential oversold conditions.
Background Color: Highlights the background based on momentum thresholds for enhanced visual cues.
Fill Zones:

The areas between key threshold lines are filled with semi-transparent colors to visually separate different sentiment zones:
Between Valhalla and FOMO Zone: Red fill indicating high optimism.
Between Confidence Valley and Strong Hodlers: Green fill indicating strong holding sentiment.
Usage:
This indicator can be used by traders to:

Identify market sentiment and potential overbought/oversold conditions.
Make informed decisions based on the behavior of Ethereum addresses.
Spot critical sentiment zones to adjust trading strategies accordingly.
By analyzing the momentum derived from profit/loss metrics of Ethereum addresses, traders can gain insights into the market's psychological state and make better-informed trading decisions.