Benchmark

A benchmarkA benchmark refers to a standard against which the performance of an investment or trading strategy is measured. It is usually a market index or... More refers to a standard against which the performance of an investment or trading strategy is measured. It is usually a market indexAn index related to cryptocurrency trading is a tool that is used to track the performance of a group of cryptocurrencies. It is designed to... More or a specific cryptocurrencyCryptocurrency is a digital or virtual currency that uses cryptography for security and operates independently of a central bank. Cryptocurrencies use decentralized technology called blockchain... More that is widely recognized as a representative of the broader market or sector. Benchmarks provide a way to evaluate the performance of a particular investment or trading strategy relative to the market or sector it is intended to track. This helps traders to determine if their investments or strategies are outperforming or underperforming the market and make adjustments accordingly.

Examples of benchmarks in crypto trading include the BitcoinBitcoin is like a digital treasure that you can use to buy things online. It's like having a secret code that only you know, and... More price index, the Crypto Fear and Greed Index, and the Binance CoinA cryptocurrency coin is a digital form of currency that uses encryption techniques to regulate the generation of units and verify the transfer of funds.... More market capitalizationMarket capitalization (often referred to as "market cap") is a measure of the total value of a company or asset. In the context of cryptocurrencies,... More index.