Yale Economists Share Strategies to Strongly Forecast Bitcoin Returns
Data Output of Bitcoin, Ethereum and RippleThe study compared the statistics of Bitcoin on the daily, weekly, and monthly basis, and also compared to those of currencies, stocks, and commodities. It found that “at the daily frequency, the mean return [was] 0.52 percent and the standard deviation [was] 5.55 percent; at the weekly frequency, the mean return [was] 3.79 percent and the standard deviation [was] 16.64 percent; at the monthly frequency, the mean return [was] 21.60 percent and the standard deviation [was] 69.46 percent.”Pictured: An image excerpt from the Yale Study, “RISKS AND RETURNS OF CRYPTOCURRENCY.”Overall, the magnitude of the outcomes derived from Bitcoin statistics was higher than those for traditional asset classes. As for Ripple and Ethereum, their returns had a higher mean return and standard deviation than those of Bitcoin. However, their Sharpe ratios, the average profit earned, was somewhat comparable to the Sharpe ratios of Bitcoin returns. Featured image from Shutterstock