What happens when your blockchain secures more assets (in $) than it’s native asset is worth? The ratio between L1 value (native asset) and L2 value (tokens, business value+), seems to be an important blockchain security metric.
[Read more…] about L1L2 Ratio – Blockchain Security RatioCrypto Metrics
Bitcoin Market Cycles and Crypto Native Indicators
What tools can we use to understand Bitcoin market cycles? The transparent nature of the blockchains, makes possible a new arsenal of investment tools.
[Read more…] about Bitcoin Market Cycles and Crypto Native IndicatorsNVT Ratio and NVT Signal – Detect Bitcoin Bubbles
The NVT ratio or “Network Value to Transactions Ratio” is one of the new crypto-native investment tools. Investors use The NVT Ratio and the updated NVT Signal to spot crypto bubbles and buying opportunities.
The NVT ratio tracks the dollar value of transactions on the Bitcoin blockchain and measures this against its market value. The product is a P/E-like cryptocurrency investment ratio to track relative value and bitcoin market cycles.
[Read more…] about NVT Ratio and NVT Signal – Detect Bitcoin BubblesWhen to Invest in Bitcoin? 3 Tools to Guide You
In this post you’ll learn the tools and tricks, to find out if now is a great time to buy Bitcoin. The best time to invest in Bitcoin was in 8-10 years ago. Is today the second best?
[Read more…] about When to Invest in Bitcoin? 3 Tools to Guide YouNVE Ratio – Network Value to Exchange (Crypto Liquidity)
The NVE Ratio or Network Value to Exchange ratio is meant to shed light on crypto liquidity.
Some Cryptocurrencies have poor liquidity, yet marketcaps in the hundred of millions. The relationship between network value and liquidity is captured in the NVE ratio. It can be used to indicate risk from poor liquidity.
Calculate it by dividing USD Network Value with USD Exchange Volume.
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