Beta (Coefficient)
Beta coefficient refers to the measure of an asset’s volatilityVolatility is a common characteristic of cryptocurrency markets, meaning that the prices of cryptocurrencies can fluctuate rapidly and unpredictably over short periods of time. This... in relation to the overall market. It is used as a risk assessment tool by investors and traders. A beta coefficient of 1 indicates that the asset’s volatility is similar to the overall market, while a value greater than 1 indicates higher volatility and a value less than 1 indicates lower volatility. It helps traders to assess the potential risk and return of a particular crypto asset when compared to the market as a whole.