What is walk-forward validation in crypto trading?
Walk-forward validation is the gold-standard backtest method used by quant funds.
Why a single backtest is misleading
A static backtest fits parameters to history. Walk-forward re-fits as time moves forward, so each test window is truly out-of-sample.
How Smartbull uses it
Phase 37 baseline runs weekly walk-forward over 8 years of data with a 3-month re-train cadence. The locked Sharpe is 2.39 and max drawdown 10.51%.
See it in action:
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