Avalanche Performance
| AVAX Crypto | USD 43.50 0.33 0.75% |
The crypto shows a Beta (market volatility) of 1.16, which signifies a somewhat significant risk relative to the market. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, Avalanche will likely underperform.
Risk-Adjusted Performance
16 of 100
Weak | Strong |
Solid
Compared to the overall equity markets, risk-adjusted returns on investments in Avalanche are ranked lower than 16 (%) of all global equities and portfolios over the last 90 days. In spite of rather unsteady fundamental indicators, Avalanche exhibited solid returns over the last few months and may actually be approaching a breakup point. ...more
1 | Harris signals support for crypto, in potential break with Biden - The Washington Post | 09/26/2024 |
Avalanche |
Avalanche Relative Risk vs. Return Landscape
If you would invest 2,281 in Avalanche on August 30, 2024 and sell it today you would earn a total of 2,069 from holding Avalanche or generate 90.71% return on investment over 90 days. Avalanche is generating 1.1499% of daily returns and assumes 5.348% volatility on return distribution over the 90 days horizon. Simply put, 47% of crypto coins are less volatile than Avalanche, and 78% of all equity instruments are likely to generate higher returns than the company over the next 90 trading days. Expected Return |
| Risk |
Avalanche Market Risk Analysis
Today, many novice investors tend to focus exclusively on investment returns with little concern for Avalanche's investment risk. Standard deviation is the most common way to measure market volatility of crypto coins, such as Avalanche, and traders can use it to determine the average amount a Avalanche's price has deviated from the expected return over a period of time. It is calculated by determining the expected price for the established period and then subtracting this figure from each price point. The differences are then squared, summed, and averaged to produce the variance.
Sharpe Ratio = 0.215
| Best Portfolio | Best Equity | |||
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| Cash | Small Risk | Average Risk | High Risk | Huge Risk |
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Estimated Market Risk
| 5.35 actual daily | 47 53% of assets are more volatile |
Expected Return
| 1.15 actual daily | 22 78% of assets have higher returns |
Risk-Adjusted Return
| 0.22 actual daily | 16 84% of assets perform better |
Based on monthly moving average Avalanche is performing at about 16% of its full potential. If added to a well diversified portfolio the total return can be enhanced and market risk can be reduced. You can increase risk-adjusted return of Avalanche by adding it to a well-diversified portfolio.
About Avalanche Performance
By analyzing Avalanche's fundamental ratios, stakeholders can gain valuable insights into Avalanche's financial health, operational efficiency, and overall profitability, helping them make informed investment and management decisions. For instance, if Avalanche has a high ROA and ROE, it suggests that the company is efficiently using its assets and equity to generate substantial profits, making it an attractive investment. Conversely, if Avalanche has a low ROA and ROE, it may indicate underlying issues in asset and equity management, signaling a need for operational improvements.
Avalanche is peer-to-peer digital currency powered by the Blockchain technology.| Avalanche is way too risky over 90 days horizon | |
| Avalanche appears to be risky and price may revert if volatility continues |
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Avalanche. Also, note that the market value of any cryptocurrency could be closely tied with the direction of predictive economic indicators such as signals in board of governors. You can also try the Risk-Return Analysis module to view associations between returns expected from investment and the risk you assume.