New York-based digital asset research firm has released an in-depth report on Ethereum, and one small part of the report involves the potential for Ethereum’s ether token to outperform bitcoin if a crypto market rally were to take place soon. This potential for ether to outperform bitcoin is mostly based on the increased volatility that ether and other altcoins have when compared to bitcoin’s price movements combined with the observation that all crypto assets tend to move in the same direction.
High Beta Risk-Reward
One page of the Delphi Digital report is called High Beta Risk-Reward. On this page, ether’s beta, which is a technical measurement related to volatility, relative to bitcoin is illustrated on multiple graphs to make the point that ether has been much more volatile than bitcoin over the past six months.
“ETH has also been significantly more volatile than BTC over the last six months. It’s 90-day beta relative to BTC is currently 1.5, substantially higher than its historical average (though price history is limited),” reads the report.
In general, crypto assets all tend to move in the same direction. According to LongHash, this phenomenon became even more obvious recently, as…
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