If you’re firing up Coinmetrics for the first time in a while, you’ll notice a trove of new content. Here I’ll give a little bit of detail into how you can use these indicators and incorporate them into your investment strategy.
Here at coinmetrics, we believe in open source everything. That’s our central credo, and it underscores everything we do. We have benefited from a remarkably open cryptoasset information economy, which is quite unique, especially when compared to the regimented and generally closed information ecosystem surrounding equities. Our ideas did not emerge from a vacuum – we routinely bounce thoughts off traders, investors, and academics, and borrow from them. We developed the MTV ratio independently (standardizing transaction volumes by mcap wasn’t a particularly radical idea) but borrowed the nomenclature from elsewhere. We simply seek to innovate and improve upon the quality of cryptoasset research.
Cryptoasset investors often speak of investing based on “fundamentals” rather than hype, sentiment, or technical analysis. However the analytic infrastructure for a rigorous understanding of a cryptoasset’s value relative to another is virtually nonexistent. Equity investors have had 80 years to mull over and refine Graham and Dodd’s principles of value investing, but digital currency investors have had no such privilege.