Featured image from Unsplash, chart from TradingView<\/em><\/div>\n","protected":false},"excerpt":{"rendered":"Toncoin, which is one of the best-performing cryptocurrencies in 2024, has also been affected in recent months by the widespread bearish climate of the market. The price of the altcoin seems to be recovering nicely after suffering an abrupt decline on Friday, October 26.\u00a0 As of this writing, the value of Toncoin stands around $4.92, reflecting an almost 3% upswing in the past day. However, this single-day action has had minimal impact on the token\u2019s performance on the weekly timeframe. According to data from CoinGecko, the TON price is down by nearly 7% in the past week. What Does The Declining Sharpe Ratio Mean? In a recent Quicktake post on the CryptoQuant platform, an analyst with the pseudonym Darkfost explained the relevance of the \u201cSharpe Ratio\u201d metric to cryptocurrency price. According to the crypto pundit, the Sharpe Ratio for Toncoin has been in decline in recent weeks, signaling a period of decreased risk. Related Reading: Dogecoin Price Flashes Bullish Pennant On Daily Heikin Ashi Chart, What This Means The relevant metric here is the Sharpe Ratio, which assesses the risk-adjusted returns of an investment. This indicator basically measures how much profit an investment offers per unit of risk (considering risk is quantified by volatility). Typically, a rising Sharpe Ratio signals a higher risk-adjusted performance. On the other hand, when this metric is in a downward trend, it implies that the coin is in a \u201clower-risk zone\u201d and profits are becoming less significant.\u00a0 According to Darkfost, it appears that both volatility and risk are decreasing for Toncoin, as its Sharpe Ratio continues to fall. With the altcoin showing reduced sensitivity to price fluctuations, it offers a more favorable risk-return balance and a less risky market for investors. A less volatile market condition may be ideal for Toncoin investors to accumulate tokens with less exposure to abrupt price movements. The Quicktake analyst, however, warned investors to approach the market with caution as the \u201clower-risk zone\u201d may not be completely safe.\u00a0 Darkfost specifically advised investors to still watch out for Bitcoin\u2019s price movements, as the market tends to respond to swings from the premier cryptocurrency. Toncoin To Overtake Ethereum In This Metric Before 2025 In a separate Quicktake post, an analyst has projected Toncoin to overtake Ethereum in terms of adoption before the end of 2024. According to Maartunn, the number of TON holders, which currently stands at 112 million, is expected to surpass ETH holders by December 20, 2024. This projection is based on Toncoin\u2019s recent growth spurt, which has seen the network gain an average of 500,000 new holders daily over the past month. According to the Quicktake analyst, the number of TON holders could exceed that of Ethereum (currently 137 million) if this trend continues. Related Reading: Would Bitcoin Reclaim $70,000 Soon? Key Data Suggests New Investors Hold the Key However, Maartunn noted that this prediction doesn’t account for the potential of a slowdown in TON\u2019s growth rate and the continuous growth of ETH holders. The analyst acknowledged that while these two factors are only variables, they may still influence the projected dates. Featured image from Unsplash, chart from TradingView<\/p>\n","protected":false},"author":590,"featured_media":551166,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[87314],"tags":[83531,12143,87713,87714,88282],"class_list":["post-650109","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-toncoin-ton","tag-cryptoquant","tag-ton","tag-toncoin","tag-toncoin-price","tag-tonusdt"],"acf":[],"yoast_head":"\n
Toncoin Sharpe Ratio Is Falling: What It Means And \u2014 Is It Time To Buy?<\/title>\n \n \n \n \n \n \n \n \n \n \n \n \n \n\t \n\t \n\t \n \n \n \n \n \n\t \n\t \n\t \n