Cardano Performance
| ADA Crypto | USD 1.08 0.05 4.85% |
The crypto shows a Beta (market volatility) of 0.6, which signifies possible diversification benefits within a given portfolio. As returns on the market increase, Cardano's returns are expected to increase less than the market. However, during the bear market, the loss of holding Cardano is expected to be smaller as well.
Risk-Adjusted Performance
25 of 100
Weak | Strong |
Solid
Compared to the overall equity markets, risk-adjusted returns on investments in Cardano are ranked lower than 25 (%) of all global equities and portfolios over the last 90 days. In spite of rather unsteady basic indicators, Cardano exhibited solid returns over the last few months and may actually be approaching a breakup point. ...more
Cardano |
Cardano Relative Risk vs. Return Landscape
If you would invest 32.00 in Cardano on September 1, 2024 and sell it today you would earn a total of 76.00 from holding Cardano or generate 237.5% return on investment over 90 days. Cardano is generating 2.0742% of daily returns assuming 6.3118% volatility of returns over the 90 days investment horizon. Simply put, 56% of all crypto coins have less volatile historical return distribution than Cardano, and 59% of all equity instruments are likely to generate higher returns than the company over the next 90 trading days. Expected Return |
| Risk |
Cardano Market Risk Analysis
Today, many novice investors tend to focus exclusively on investment returns with little concern for Cardano's investment risk. Standard deviation is the most common way to measure market volatility of crypto coins, such as Cardano, and traders can use it to determine the average amount a Cardano's price has deviated from the expected return over a period of time. It is calculated by determining the expected price for the established period and then subtracting this figure from each price point. The differences are then squared, summed, and averaged to produce the variance.
Sharpe Ratio = 0.3286
| Best Portfolio | Best Equity | |||
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| Average Returns | ADA | |||
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| Cash | Small Risk | Average Risk | High Risk | Huge Risk |
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Estimated Market Risk
| 6.31 actual daily | 56 56% of assets are less volatile |
Expected Return
| 2.07 actual daily | 41 59% of assets have higher returns |
Risk-Adjusted Return
| 0.33 actual daily | 25 75% of assets perform better |
Based on monthly moving average Cardano is performing at about 25% of its full potential. If added to a well diversified portfolio the total return can be enhanced and market risk can be reduced. You can increase risk-adjusted return of Cardano by adding it to a well-diversified portfolio.
About Cardano Performance
By analyzing Cardano's fundamental ratios, stakeholders can gain valuable insights into Cardano's financial health, operational efficiency, and overall profitability, helping them make informed investment and management decisions. For instance, if Cardano has a high ROA and ROE, it suggests that the company is efficiently using its assets and equity to generate substantial profits, making it an attractive investment. Conversely, if Cardano has a low ROA and ROE, it may indicate underlying issues in asset and equity management, signaling a need for operational improvements.
Cardano is peer-to-peer digital currency powered by the Blockchain technology.| Cardano is way too risky over 90 days horizon | |
| Cardano has some characteristics of a very speculative cryptocurrency | |
| Cardano appears to be risky and price may revert if volatility continues |
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Cardano. Also, note that the market value of any cryptocurrency could be closely tied with the direction of predictive economic indicators such as signals in board of governors. You can also try the Price Transformation module to use Price Transformation models to analyze the depth of different equity instruments across global markets.