Drift Protocol Alpha and Beta Analysis
| DRIFT Crypto | USD 1.42 0.02 1.39% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Drift protocol. It also helps investors analyze the systematic and unsystematic risks associated with investing in Drift Protocol over a specified time horizon. Remember, high Drift Protocol's alpha is almost always a sign of good performance; however, a high beta will depend on investors' risk tolerance level and may signal increased volatility and potential future overvaluation.
Beta 16.26 | Alpha 1.2 | Risk 24.85 | Sharpe Ratio 0.13 | Expected Return 3.34 |
Alpha is a measure of relative performance on a risk-adjusted basis, while beta measures volatility against the benchmark. The goal is to know if an investor is being compensated for the volatility risk taken. The return on investment might be better than its reference but still not compensate for the assumption of the risk.
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Drift Protocol Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Drift Protocol market risk premium is the additional return an investor will receive from holding Drift Protocol long position in a well-diversified portfolio. The market premium is part of the Capital Asset Pricing Model (CAPM), which most analysts and investors use to calculate the acceptable rate of return on investment in Drift Protocol. At the center of the CAPM is the concept of risk and reward, which is usually communicated by investors using alpha and beta measures. Alpha and beta are two of the key measurements used to evaluate Drift Protocol's performance over market.| α | 1.20 | β | 16.26 |
Drift Protocol Price Momentum Analysis
Drift Protocol Market Price Analysis
Market price analysis indicators help investors to evaluate how Drift Protocol crypto coin reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Drift Protocol shares will generate the highest return on investment. By understating and applying Drift Protocol crypto coin market price indicators, traders can identify Drift Protocol position entry and exit signals to maximize returns.
Drift Protocol Return and Market Media
The median price of Drift Protocol for the period between Sun, Sep 1, 2024 and Sat, Nov 30, 2024 is 0.58 with a coefficient of variation of 48.81. The daily time series for the period is distributed with a sample standard deviation of 0.37, arithmetic mean of 0.76, and mean deviation of 0.31. The Crypto did not receive any noticable media coverage during the period. Price Growth (%) |
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About Drift Protocol Beta and Alpha
For many years both, Alpha and Beta indicators are used by professional money managers as critical performance measurement tools across virtually all financial instruments including Drift or other cryptos. Alpha measures the amount that position in Drift protocol has returned in comparison to a selected market index or another relevant benchmark. In other words, Alpha is the excess return on an investment relative to the performance of your selected benchmark. Beta, on the other hand, measures the relative risk of your investment.
Some cryptocurrency investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. However, unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Drift Protocol in the overall investment community. So, suppose investors can accurately measure the crypto's market sentiment. In that case, they can use it for their benefit. For example, some tools provided by cryptocurrency exchanges to gauge market sentiment could be utilized to time the market in a somewhat predictable way.
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Check out Drift Protocol Backtesting, Portfolio Optimization, Drift Protocol Correlation, Cryptocurrency Center, Drift Protocol Volatility, Drift Protocol History and analyze Drift Protocol Performance. You can also try the Portfolio Suggestion module to get suggestions outside of your existing asset allocation including your own model portfolios.
Drift Protocol 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.