Crypto: 25 growth rates over 3 periods

In my previous post I looked at growth rates for the top 25 crypto currencies by using liner regression on their closing prices for the previous year. My intent was to justify my feeling that one ought to focus on bitcoin (BTC) only and ignore the other alternative coins. Unfortunately, that wasn’t supported by the growth rates over the past tear. However, looking at the graph for BTC and VEN (Vechain) one can see both coins were dormant over the 1^st six months of the year followed by rapid growth in the last quarter of 2017 and a rapid fall in the 1^st quarter of 2018. I decided to do the same growth analysis for the last 2 quarters and the 1^st quarter of 2018. The following link is to a chart containing the growth rates.

https://drive.google.com/file/d/1rZ9WGs4QocqPr164GnjLnlxTz_UjeJF4/view?usp=sharing

The coins with a growth rate greater than BTC in each period are shaded in yellow. The coin identifiers that are shaded in yellow are those with growth rates exceeding BTC in all 3 periods.

The fact that 5 of the 25 coins had growth rates better than BTC causes me to pause. I think I’ll need to take a more detailed look at these.

I’ve updated my sharable file with the detailed growth rate data for all 3 periods. You can find and download it at;

https://drive.google.com/file/d/1O2vLagPFmKOkSjMspY9tZ3ydfPDE9YUP/view?usp=sharing

Follow me on Twitter @ole44bill and I’ll tweet when I have a new post.

First look at the top 25 cryptocurrency's growth rates

I have been playing around investing in cryptocurrencies for a while. I started with bitcoin (BTC) and gradually expanded to include other coins. But with the rapid growth in their prices, followed by a rapid fall, I’m wondering if I should just forget all the other coins and just focus on BTC’s. I decided to look at the growth rates of the top 25 coins by market cap to see if I could find some support for this view.

I downloaded the prices history for each of the top 25 and focused initially on the data for one year, the last 3 quarters of 2017 and the 1^st quarter of 2018. I then wrote a program to do linear regression of the closing price by day. This resulted in a slope co-efficient which reflects the rate of growth over the period. I divided this by the average closing price during the period and determined a growth rate percentage. Following are two charts plotting the data with the regression line shown over the daily closing prices. One is for bitcoin (BTC) and the other for Vechain (VEN).

The actual data can be found in the following file;

https://drive.google.com/file/d/1O2vLagPFmKOkSjMspY9tZ3ydfPDE9YUP/view?usp=sharing

The growth rate for BTC was 0.55% while VEN’s was 1.09%. VEN was chosen because it had 1 year of data and a high growth rate. Obviously that rate is deceptive because VEN’s performance was very flat early on. I’ll look more in depth in my next post.