EKT Volatility
| EKT Crypto | USD 0.0006 0.000002 0.33% |
We have found twenty-eight technical indicators for EKT, which you can use to evaluate the volatility of coin. Please confirm EKT's Mean Deviation of 1.45, downside deviation of 1.95, and Market Risk Adjusted Performance of (1.29) to check if the risk estimate we provide is consistent with the expected return of 0.0%. Key indicators related to EKT's volatility include:
180 Days Market Risk | Risk of Devaluation | 180 Days Economic Sensitivity |
EKT Crypto Coin volatility depicts how high the prices fluctuate around the mean (or its average) price. In other words, it is a statistical measure of the distribution of EKT daily returns, and it is calculated using variance and standard deviation. We also use EKT's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of EKT volatility.
EKT |
Since volatility provides cryptocurrency investors with entry points to take advantage of coin prices, investors in projects such as EKT can benefit from it. Downward market volatility can be a perfect environment for traders who play the long game. Here, they may buy additional EKT shares at lower prices. For example, an investor can purchase EKT coin that has halved in price over a short period. This will lower your average cost per share, thereby improving your portfolio's performance when the markets normalize. Similarly, when the prices of EKT's crypto rise, investors can sell out and invest the proceeds in other coins with better opportunities. Investing in volatile markets will allow investors in evolving Defi or crypto projects such as EKT to generate better long-term returns.
Moving together with EKT Crypto Coin
EKT Market Sensitivity And Downside Risk
EKT's beta coefficient measures the volatility of EKT crypto coin compared to the systematic risk of the entire market represented by your selected benchmark. In mathematical terms, beta represents the slope of the line through a regression of data points where each of these points represents EKT crypto coin's returns against your selected market. In other words, EKT's beta of -0.0891 provides an investor with an approximation of how much risk EKT crypto coin can potentially add to one of your existing portfolios. EKT has relatively low volatility with skewness of 0.63 and kurtosis of 1.74. However, we advise all cryptocurrency investors to independently investigate EKT to ensure all accessible information is consistent with the expectations about its upside potential and future expected returns. EKT appears to be a penny crypto. Although EKT may be, in fact, a solid short-term or long term investment, many penny crypto coins are speculative digital assets that are often subject to artificial coin promotions and campaigns of hype which may lead to misinformation and misrepresentation. Please make sure you fully understand upside potential and downside risks of investing in EKT crypto or similar risky assets. We encourage cryptocurrency investors to look for signals such as email spams, message board hypes, claims of breakthroughs, volume upswing without any event/news,and sudden news releases. We also encourage crypto traders to check the biographies and work history of the founders of the accociated project, carefully read the white papers and consensus ducoments before investing in high-volatility coins. You can indeed make money on EKT if you perfectly time your entry and exit. However, remember that cryptos that have been the subject of artificial hype usually cannot maintain its increased price for more than a few days. The price of a promoted high-volatility instrument will almost always revert. The only way to increase coin holder value is through legitimate performance analysis backed up by solid fundamentals of the project the coin represents. Understanding different market volatility trends often help investors time the market. Properly using volatility indicators enable traders to measure EKT's crypto coin risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact EKT's price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different cryptos as prices fall or investing in DeFi projects.
3 Months Beta |Analyze EKT Demand TrendCheck current 90 days EKT correlation with market (Dow Jones Industrial)EKT Beta |
EKT standard deviation measures the daily dispersion of prices over your selected time horizon relative to its mean. A typical volatile entity has a high standard deviation, while the deviation of a stable instrument is usually low. As a downside, the standard deviation calculates all uncertainty as risk, even when it is in your favor, such as above-average returns.
Standard Deviation | 0.0 |
It is essential to understand the difference between upside risk (as represented by EKT's standard deviation) and the downside risk, which can be measured by semi-deviation or downside deviation of EKT's daily returns or price. Since the actual investment returns on holding a position in ekt crypto coin tend to have a non-normal distribution, there will be different probabilities for losses than for gains. The likelihood of losses is reflected in the downside risk of an investment in EKT.
EKT Crypto Coin Volatility Analysis
Volatility refers to the frequency at which EKT crypto price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with EKT's price changes. Investors will then calculate the volatility of EKT's crypto coin to predict their future moves. A crypto that has erratic price changes quickly hits new highs, and lows are considered highly volatile. A crypto coin with relatively stable price changes has low volatility. A highly volatile crypto is riskier, but the risk cuts both ways. Investing in highly volatile security can either be highly successful, or you may experience significant failure. There are two main types of EKT's volatility:
Historical Volatility
This type of crypto volatility measures EKT's fluctuations based on previous trends. It's commonly used to predict EKT's future behavior based on its past. However, it cannot conclusively determine the future direction of the crypto coin.Implied Volatility
This type of volatility provides a positive outlook on future price fluctuations for EKT's current market price. This means that the crypto will return to its initially predicted market price. This type of volatility can be derived from derivative instruments written on EKT's to be redeemed at a future date.Transformation |
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EKT Projected Return Density Against Market
Assuming the 90 days trading horizon EKT has a beta of -0.0891 suggesting as returns on the benchmark increase, returns on holding EKT are expected to decrease at a much lower rate. During a bear market, however, EKT is likely to outperform the market.Most traded cryptocurrencies are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or coin-specific or project-specific) risk. Unsystematic risk is the risk that events specific to EKT project will adversely affect the coin's price. This type of risk can be diversified away by owning several different digital assets on different exchanges whose coin prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that EKT's price will be affected by overall cryptocurrency market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a EKT crypto's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
EKT has an alpha of 0.1268, implying that it can generate a 0.13 percent excess return over Dow Jones Industrial after adjusting for the inherited market risk (beta). Predicted Return Density |
| Returns |
EKT Crypto Coin Return Volatility
EKT historical daily return volatility represents how much of EKT crypto's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. Keep in mind that cryptocurrencies such as EKT have only been around for a short time and are still in the price discovery phase. This means that prices will continue to change as investors and governments work through the initial concerns until prices stabilize, provided a stable point can be reached. EKT assumes 0.0% volatility of returns over the 90 days investment horizon. By contrast, Dow Jones Industrial accepts 0.7502% volatility on return distribution over the 90 days horizon. Performance |
| Timeline |
About EKT Volatility
Volatility is a rate at which the price of EKT or any other equity instrument increases or decreases for a given set of returns. It is measured by calculating the standard deviation of the annualized returns over a given period of time and shows the range to which the price of EKT may increase or decrease. In other words, similar to EKT's beta indicator, it measures the risk of EKT and helps estimate the fluctuations that may happen in a short period of time. So if prices of EKT fluctuate rapidly in a short time span, it is termed to have high volatility, and if it swings slowly in a more extended period, it is understood to have low volatility.
Please read more on our technical analysis page.3 ways to utilize EKT's volatility to invest better
Higher EKT's crypto volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of EKT crypto is relatively stable. Investors and traders use stock volatility as an indicator of risk and potential reward, as stocks with higher volatility can offer the potential for more significant returns but also come with a greater risk of losses. EKT crypto volatility can provide helpful information for making investment decisions in the following ways:- Measuring Risk: Volatility can be used as a measure of risk, which can help you determine the potential fluctuations in the value of EKT investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in EKT's crypto can indicate that there is potential for significant price movements, either up or down, which could present investment opportunities.
- Diversification: Understanding how the volatility of EKT's crypto relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
EKT Investment Opportunity
Dow Jones Industrial has a standard deviation of returns of 0.75 and is 9.223372036854776E16 times more volatile than EKT. 0 percent of all equities and portfolios are less risky than EKT. You can use EKT to protect your portfolios against small market fluctuations. The crypto coin experiences a normal downward trend and little activity. Check odds of EKT to be traded at $6.0E-4 in 90 days.Good diversification
The correlation between EKT and DJI is -0.03 (i.e., Good diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding EKT and DJI in the same portfolio, assuming nothing else is changed. Please note that EKT is a digital instrument and cryptocurrency exchanges were notoriously volatile since the beginning of their establishment.
EKT Additional Risk Indicators
The analysis of EKT's secondary risk indicators is one of the essential steps in making a buy or sell decision. The process involves identifying the amount of risk involved in EKT's investment and either accepting that risk or mitigating it. Along with some common measures of EKT crypto coin's risk such as standard deviation, beta, or value at risk, we also provide a set of secondary indicators that can assist in the individual investment decision or help in hedging the risk of your existing portfolios.
| Risk Adjusted Performance | 0.0535 | |||
| Market Risk Adjusted Performance | (1.29) | |||
| Mean Deviation | 1.45 | |||
| Semi Deviation | 1.78 | |||
| Downside Deviation | 1.95 | |||
| Coefficient Of Variation | 1618.5 | |||
| Standard Deviation | 2.03 |
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential crypto coins, we recommend comparing similar cryptos with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.
EKT Suggested Diversification Pairs
Pair trading is one of the very effective strategies used by professional day traders and hedge funds capitalizing on short-time and mid-term market inefficiencies. The approach is based on the fact that the ratio of prices of two correlating shares is long-term stable and oscillates around the average value. If the correlation ratio comes outside the common area, you can speculate with a high success rate that the ratio will return to the mean value and collect a profit.
The effect of pair diversification on risk is to reduce it, but we should note this doesn't apply to all risk types. When we trade pairs against EKT as a counterpart, there is always some inherent risk that will never be diversified away no matter what. This volatility limits the effect of tactical diversification using pair trading. EKT's systematic risk is the inherent uncertainty of the entire market, and therefore cannot be mitigated even by pair-trading it against the equity that is not highly correlated to it. On the other hand, EKT's unsystematic risk describes the types of risk that we can protect against, at least to some degree, by selecting a matching pair that is not perfectly correlated to EKT.
When determining whether EKT offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of EKT's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Ekt Crypto. Check out Investing Opportunities to better understand how to build diversified portfolios. 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 Analyst Advice module to analyst recommendations and target price estimates broken down by several categories.