How Traditional Financial Models Are Shaping Cryptocurrency Pricing

Professor Coin: How Do You Price Cryptocurrencies Like Bitcoin and Ethereum?

The article from Decrypt explores the complex world of cryptocurrency pricing, focusing on how to evaluate assets like Bitcoin and Ethereum. Professor Andrew Urquhart delves into academic research that attempts to apply traditional financial models, such as the Fama-French factors, to cryptocurrencies despite their lack of balance sheets. A significant study by Yukun Liu et al., published in 2022, identifies market return excesses, size, and momentum as key factors influencing over 1,800 cryptocurrencies' returns. Another paper highlights blockchain-based data's potential in enhancing price predictions beyond conventional metrics.

Ethereum Whales Diversify Amidst Falling ETH Predictions

Brave New Coin Insights reports a shift among Ethereum whales towards new altcoins due to stagnant ETH price forecasts following ETF announcements. Rollblock has emerged as a popular choice with its innovative GambleFi platform combining online gambling transparency with investment opportunities for token holders through revenue sharing. Despite recent setbacks for Ethereum ETFs leading to outflows rather than inflows anticipated after Grayscale’s issues, analysts remain optimistic about future gains once institutional interest rebounds.

Vitalik Buterin Sells Meme Tokens Again

An article from U.Today reveals that Vitalik Buterin sold several meme tokens including MSTR and POPCAT for substantial amounts of Ether (ETH). This move aligns with his previous actions where he often donates proceeds from unsolicited crypto gifts received over time—highlighting both his influence within the community and ongoing involvement in charitable causes using digital currencies.

Investors Shift Focus From Ethereum To Solana And Bitcoin

A report by AMBCrypto News discusses investors’ growing preference for alternatives like Solana (SOL) amidst declining enthusiasm around Ethereum investments this year. However, experts predict renewed attention come 2025, driven largely by expected demand increases stemming primarily from approved US-based exchange-traded funds targeting these specific markets. This will likely impact asset valuations positively. The overall long-term outlook remains favorable, according to industry insiders consulted during the analysis process regarding current trends affecting broader sector dynamics globally.

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