Avalanche Market Value
| AVAX Crypto | USD 35.94 0.09 0.25% |
| Symbol | Avalanche |
Avalanche 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to Avalanche's crypto coin what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of Avalanche.
| 10/22/2024 |
| 11/21/2024 |
If you would invest 0.00 in Avalanche on October 22, 2024 and sell it all today you would earn a total of 0.00 from holding Avalanche or generate 0.0% return on investment in Avalanche over 30 days. Avalanche is related to or competes with Ethereum, Solana, XRP, Sui, Cardano, Staked Ether, and Toncoin. Avalanche is peer-to-peer digital currency powered by the Blockchain technology.
Avalanche Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure Avalanche's crypto coin current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess Avalanche upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 4.39 | |||
| Information Ratio | 0.0929 | |||
| Maximum Drawdown | 23.54 | |||
| Value At Risk | (6.27) | |||
| Potential Upside | 7.93 |
Avalanche Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Avalanche's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Avalanche's standard deviation. In reality, there are many statistical measures that can use Avalanche historical prices to predict the future Avalanche's volatility.| Risk Adjusted Performance | 0.0932 | |||
| Jensen Alpha | 0.5096 | |||
| Total Risk Alpha | (0.01) | |||
| Sortino Ratio | 0.103 | |||
| Treynor Ratio | 1.62 |
Avalanche Backtested Returns
Avalanche appears to be very risky, given 3 months investment horizon. Avalanche secures Sharpe Ratio (or Efficiency) of 0.11, which signifies that digital coin had a 0.11% return per unit of standard deviation over the last 3 months. By analyzing Avalanche's technical indicators, you can evaluate if the expected return of 0.55% is justified by implied risk. Please makes use of Avalanche's risk adjusted performance of 0.0932, and Mean Deviation of 3.86 to double-check if our risk estimates are consistent with your expectations. The crypto shows a Beta (market volatility) of 0.33, which signifies possible diversification benefits within a given portfolio. As returns on the market increase, Avalanche's returns are expected to increase less than the market. However, during the bear market, the loss of holding Avalanche is expected to be smaller as well.
Auto-correlation | -0.15 |
Insignificant reverse predictability
Avalanche has insignificant reverse predictability. Overlapping area represents the amount of predictability between Avalanche time series from 22nd of October 2024 to 6th of November 2024 and 6th of November 2024 to 21st of November 2024. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of Avalanche price movement. The serial correlation of -0.15 indicates that less than 15.0% of current Avalanche price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.15 | |
| Spearman Rank Test | 0.13 | |
| Residual Average | 0.0 | |
| Price Variance | 6.88 |
Avalanche lagged returns against current returns
Autocorrelation, which is Avalanche crypto coin's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting Avalanche's crypto coin expected returns. We can calculate the autocorrelation of Avalanche returns to help us make a trade decision. For example, suppose you find that Avalanche has exhibited high autocorrelation historically, and you observe that the crypto coin is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
Current and Lagged Values |
| Timeline |
Avalanche regressed lagged prices vs. current prices
Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If Avalanche crypto coin is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Avalanche crypto coin is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Avalanche crypto coin over time.
Current vs Lagged Prices |
| Timeline |
Avalanche Lagged Returns
When evaluating Avalanche's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Avalanche crypto coin have on its future price. Avalanche autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, Avalanche autocorrelation shows the relationship between Avalanche crypto coin current value and its past values and can show if there is a momentum factor associated with investing in Avalanche.
Regressed Prices |
| Timeline |
Also Currently Popular
Analyzing currently trending equities could be an opportunity to develop a better portfolio based on different market momentums that they can trigger. Utilizing the top trending stocks is also useful when creating a market-neutral strategy or pair trading technique involving a short or a long position in a currently trending equity.When determining whether Avalanche offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Avalanche's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Avalanche Crypto.Check out Avalanche Correlation, Avalanche Volatility and Investing Opportunities module to complement your research on Avalanche. You can also try the Alpha Finder module to use alpha and beta coefficients to find investment opportunities after accounting for the risk.
Avalanche technical crypto coin analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, crypto market cycles, or different charting patterns.