One embodiment of the present invention provides a system that determines a severity of degradation in a signal. During operation, the system receives signal values for the signal, wherein the signal values are received with a constant sampling interval. Next, for each received signal value, the system applies a Sequential Probability Ratio Test (SPRT) to the signal value. If the SPRT generates an alarm on the signal value, the system increments a cumulative counter which records a running total number of the SPRT alarms. Upon receiving each signal value, the system updates a cumulative function using a value in the cumulative counter. Next, the system determines the severity of degradation in the signal from the shape of the cumulative function.