XRP Market Value
| XRP Crypto | USD 1.41 0.06 4.08% |
| Symbol | XRP |
XRP '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 XRP'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 XRP.
| 10/26/2024 |
| 11/25/2024 |
If you would invest 0.00 in XRP on October 26, 2024 and sell it all today you would earn a total of 0.00 from holding XRP or generate 0.0% return on investment in XRP over 30 days. XRP is related to or competes with Staked Ether, Cronos, Wrapped Bitcoin, XMR, Tether, Chainlink, and USD Coin. XRP is peer-to-peer digital currency powered by the Blockchain technology.
XRP 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 XRP'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 XRP upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 3.65 | |||
| Information Ratio | 0.2213 | |||
| Maximum Drawdown | 29.6 | |||
| Value At Risk | (3.70) | |||
| Potential Upside | 15.58 |
XRP Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for XRP's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as XRP's standard deviation. In reality, there are many statistical measures that can use XRP historical prices to predict the future XRP's volatility.| Risk Adjusted Performance | 0.1945 | |||
| Jensen Alpha | 1.39 | |||
| Total Risk Alpha | 0.5203 | |||
| Sortino Ratio | 0.3799 | |||
| Treynor Ratio | 1.6 |
XRP Backtested Returns
XRP is unusually volatile given 3 months investment horizon. XRP shows Sharpe Ratio of 0.25, which attests that digital coin had a 0.25% return per unit of standard deviation over the last 3 months. We were able to interpolate data for twenty-nine different technical indicators, which can help you to evaluate if expected returns of 1.58% are justified by taking the suggested risk. Use XRP Downside Deviation of 3.65, mean deviation of 3.81, and Risk Adjusted Performance of 0.1945 to evaluate coin specific risk that cannot be diversified away. The entity maintains a market beta of 0.94, which attests to possible diversification benefits within a given portfolio. XRP returns are very sensitive to returns on the market. As the market goes up or down, XRP is expected to follow.
Auto-correlation | 0.56 |
Modest predictability
XRP has modest predictability. Overlapping area represents the amount of predictability between XRP time series from 26th of October 2024 to 10th of November 2024 and 10th of November 2024 to 25th 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 XRP price movement. The serial correlation of 0.56 indicates that roughly 56.0% of current XRP price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.56 | |
| Spearman Rank Test | 0.61 | |
| Residual Average | 0.0 | |
| Price Variance | 0.08 |
XRP lagged returns against current returns
Autocorrelation, which is XRP 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 XRP's crypto coin expected returns. We can calculate the autocorrelation of XRP returns to help us make a trade decision. For example, suppose you find that XRP 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 |
XRP 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 XRP crypto coin is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if XRP crypto coin is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in XRP crypto coin over time.
Current vs Lagged Prices |
| Timeline |
XRP Lagged Returns
When evaluating XRP's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of XRP crypto coin have on its future price. XRP 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, XRP autocorrelation shows the relationship between XRP crypto coin current value and its past values and can show if there is a momentum factor associated with investing in XRP.
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 XRP offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of XRP'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 Xrp Crypto.Check out XRP Correlation, XRP Volatility and Investing Opportunities module to complement your research on XRP. You can also try the Analyst Advice module to analyst recommendations and target price estimates broken down by several categories.
XRP 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.